EBA updated the 2017 list of other systemically important institutions (O-SIIs) in EU. The list of O-SIIs is disclosed on an annual basis, along with any common equity tier 1 (CET1) capital buffer requirements, which may need to be set or reset. Higher capital requirements will become applicable at least one year after the publication of the O-SIIs list to give institutions enough time to adjust to the new buffer requirements.
EBA has put in place guidelines on criteria to assess O-SIIs define the size, importance, complexity (or cross-border activities), and interconnectedness of such institutions. The guidelines provide additional flexibility for relevant authorities to apply their supervisory judgment when deciding whether to include other institutions that might not have been automatically identified as O-SIIs. This approach allows for the assessment of all financial institutions across the EU in a comparable way, while still not excluding the firms that may be deemed for one EU jurisdiction on the basis of certain specificities. O-SIIs—those institutions which, along with global systemically important institutions (G-SIIs) are deemed systemically important—have been identified by the relevant authorities across EU, according to the harmonized criteria provided by EBA guidelines.
Keywords: Europe, EU, Banking, O-SII, G-SIBs, Capital Buffers, EBA
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EBA issued a revised list of validation rules with respect to the implementing technical standards on supervisory reporting.
EBA published its response to the call for advice of EC on ways to strengthen the EU legal framework on anti-money laundering and countering the financing of terrorism (AML/CFT).
NGFS published a paper on the overview of environmental risk analysis by financial institutions and an occasional paper on the case studies on environmental risk analysis methodologies.
MAS published the guidelines on individual accountability and conduct at financial institutions.
APRA published final versions of the prudential standard APS 220 on credit quality and the reporting standard ARS 923.2 on repayment deferrals.
SRB published two articles, with one article discussing the framework in place to safeguard financial stability amid crisis and the other article outlining the path to a harmonized and predictable liquidation regime.
FSB hosted a virtual workshop as part of the consultation process for its evaluation of the too-big-to-fail reforms.
ECB updated the list of supervised entities in EU, with the number of significant supervised entities being 115.
OSFI published the key findings of a study on third-party risk management.
FSB is extending the implementation timeline, by one year, for the minimum haircut standards for non-centrally cleared securities financing transactions or SFTs.