BCB announced that the Financial Stability Committee decided to maintain the countercyclical capital buffer (CCyB) for Brazil at 0%, at least until the end of 2021. In addition, in April, the restoration of the "Additional Principal Capital Conservation portion" is expected to begin. In another development, BCB initiated the enrollment of the regulatory sandbox, with registration process ending on March 19, 2021.
In this first cycle of its regulatory sandbox, BCB will prioritize projects that deal with topics such as sustainable finance, financial inclusion, fostering credit for microentrepreneurs and small businesses, open banking, and rural credit. BCB will choose about 10 to 15 projects in this cycle, which will last for one year and may be extended for an equal period. The analysis of the proposals takes place between March 22 and June 25, 2021, a term that may be extended by up to 90 days, if the number of applicants is equal to or greater than twice the number of places. Activities are slated to start five working days after the publication of the final result. At the end of the cycle, if the selected projects have demonstrated benefits, with an appropriate level of associated risk, for the National Financial System (SFN) and for the Brazilian Payment System (SPB), BCB may authorize and, if necessary, regulate, the supply of products and services on a permanent basis.
Related Links (in Portuguese)
Keywords: Americas, Brazil, Banking, Regulatory Sandbox, Fintech, Regtech, Sustainable Finance, Open Banking, CCB, Regulatory Capital, Basel, BCB
The Australian Prudential Regulation Authority (APRA) has published the findings of its latest climate risk self-assessment survey conducted across the banking, insurance, and superannuation industries.
The French Prudential Supervisory Authority (ACPR) published a notice related to the methods for calculating and publishing prudential ratios under the Capital Requirements Directive (CRD IV) and the minimum requirement for own funds and eligible liabilities (MREL).
The Financial Stability Institute (FSI) of the Bank for International Settlements recently published a paper proposing a framework for classifying financial stability regulation as either entity-based or activity-based.
The European Insurance and Occupational Pension Authority (EIOPA) published the risk dashboard based on Solvency II data and the final version of the application guidance on climate change materiality assessments and climate change scenarios in the Own Risk and Solvency Assessment (ORSA).
The European Banking Authority (EBA) and the European Central Bank (ECB) published their responses to the consultations of the International Sustainability Standards Board (ISSB) and the European Financial Reporting Advisory Group (EFRAG) on sustainability-related disclosure standards.
A Consultative Group on Risk Management (CGRM) at the Bank for International Settlements (BIS) published a report that examines incorporation of climate risks into the international reserve management framework.
The European Banking Authority (EBA) published the final guidelines on liquidity requirements exemption for investment firms, updated version of its 5.2 filing rules document for supervisory reporting, and Single Rulebook Question and Answer (Q&A) updates in July 2022.
The European Insurance and Occupational Pensions Authority (EIOPA) published Version 2.8.0 of the Solvency II data point model (DPM) and XBRL taxonomy.
The European Union published, in the Official Journal of the European Union, an opinion from the European Economic and Social Committee (EESC); the opinion is on the proposal for a regulation to amend the Capital Requirements Regulation (CRR).
HM Treasury published a draft statutory instrument titled “The Financial Services (Miscellaneous Amendments) (EU Exit) Regulations 2022,” along with the related explanatory memorandum and impact assessment.