EC Publishes Draft Equivalence Decisions for Credit Rating Agencies
EC is requesting feedback on the draft implementing decisions on recognition of legal and supervisory systems of Hong Kong, Japan, Mexico, and U.S. as equivalent to the requirements of Regulation (EC) No 1060/2009 on credit rating agencies. Additionally, EC is requesting feedback on the draft implementing decisions on repealing rules that recognize legal and supervisory systems of Argentina, Australia, Brazil, Canada, and Singapore as equivalent to Regulation (EC) No 1060/2009 on credit rating agencies. The feedback period is from June 11, 2019 to July 09, 2019. The implementing decisions shall enter into force on the twentieth day following that of their publication in the Official Journal of the European Union.
The Implementing Decisions for Argentina, Australia, Brazil, Canada, and Singapore have been repealed because the legal and supervisory frameworks of these countries do not meet the additional, more stringent equivalence requirements for CRAs registered in EU. These additional requirements were introduced by the CRA Regulation (Regulation No 462/2013) and apply for the purposes of assessing the equivalence of third country legal and supervisory frameworks from June 01, 2018. The additional requirements include legally binding rules for CRAs on rating outlooks, conflicts of interest management, confidentiality requirements, quality of rating methodologies, and the presentation and disclosure of credit ratings.
Related Links
- Equivalence Decision in Hong Kong
- Equivalence Decision in Japan
- Equivalence Decision in Australia
- Equivalence Decision in Singapore
- Equivalence Decision in U.S.
- Equivalence Decision in Argentina
- Equivalence Decision in Canada
- Equivalence Decision in Mexico
- Equivalence Decision in Brazil
Comment Due Date: July 09, 2019
Effective Date: OJ+20 Days
Keywords: Europe, Asia Pacific, Americas, EU, Hong Kong, Japan, Australia, Singapore, US, Mexico, Brazil, Canada, Argentina, CRA, Equivalence Decisions, Third Country, CRA Regulation, EC
Related Articles
PRA Finalizes Supervisory Approach for Non-Systemic Banks in UK
PRA published the policy statement PS8/21, which contains the final supervisory statement SS3/21 on the PRA approach to supervision of the new and growing non-systemic banks in UK.
EBA Finalizes Standards on Methods of Prudential Consolidation
EBA published a report that sets out the final draft regulatory technical standards specifying the conditions according to which consolidation shall be carried out in line with Article 18 of the Capital Requirements Regulation (CRR).
EBA Updates List of Other Systemically Important Institutions in EU
EBA updated the list of other systemically important institutions (O-SIIs) in EU.
BCBS Report Concludes Basel Risk Categories Can Capture Climate Risks
BCBS published two reports that discuss transmission channels of climate-related risks to the banking system and the measurement methodologies of climate-related financial risks.
UK Authorities Welcome FSB Review of their Remuneration Regime
UK Authorities (FCA and PRA) welcomed the findings of FSB peer review on the implementation of financial sector remuneration reforms in the UK.
PRA and FCA Letter on Addressing Risks from Use of Deposit Aggregators
PRA and FCA jointly issued a letter that highlights risks associated with the increasing volumes of deposits that are placed with banks and building societies via deposit aggregators and how to mitigate these risks.
MFSA to Amend Banking Act and Rules in Coming Months to Transpose CRD5
MFSA announced that amendments to the Banking Act, Subsidiary Legislation, and Banking Rules will be issued in the coming months, to transpose the Capital Requirements Directive (CRD5) into the national regulatory framework.
EC Delegated Regulation on Specialized Lending Exposures Under CRR
EC finalized the Delegated Regulation 2021/598 that supplements the Capital Requirements Regulation (CRR or 575/2013) and lays out the regulatory technical standards for assigning risk-weights to specialized lending exposures.
OSFI Proposes to Enhance Assurance Expectations for Basel Returns
OSFI launched a consultation to explore ways to enhance the OSFI assurance over capital, leverage, and liquidity returns for banks and insurers, given the increasing complexity arising from the evolving regulatory reporting framework due to IFRS 17 (Insurance Contracts) standard and Basel III reforms.
ECB Issues Results of Benchmarking Analysis of Recovery Plans of Banks
ECB published results of the benchmarking analysis of the recovery plan cycle for 2019.
