CSSF Adopts EBA Guide on Threshold Monitoring for IPUs Under CRD IV
The Financial Sector Supervisory Commission of Luxembourg (CSSF) published a circular on the application and adoption of the European Banking Authority (EBA) guidelines for limited network exclusion Payment Services Directive (PSD2) and for threshold monitoring on the establishment of an intermediate parent undertaking under the Capital Requirements Directive (CRD IV).
Circular CSSF 22/814 applies EBA guidelines on the monitoring of the threshold and other procedural aspects of the establishment of an intermediate European Union (EU) parent undertaking under Article 21b of CRD IV. The EBA guidelines aim to specify a common methodology to calculate the total value of assets (in the European Union) of the third-country group with the aim to establish a consistent application of the intermediate EU parent undertaking requirement. CSSF has integrated the guidelines into its administrative practices and regulatory approach with a view to promote supervisory convergence in this field at the European level. The CSSF circular shall apply to less significant institutions and investment firms that are part of a third-country group, to all branches of credit institutions or investment firms incorporated in a third-country, and to financial holding companies, mixed financial holding companies, and investment holding companies incorporated in Luxembourg. This circular shall apply with immediate effect.
Circular CSSF 22/812 adopts EBA guidelines on the limited network exclusion under PSD2. The guidelines aim to clarify the scope and limits of the limited network exclusion as well as the criteria and indicators to be considered by competent authorities in the assessment of whether the activities should fall or not under the said exclusion. They clarify the specific provisions applicable to the authorized payment services providers listed in article 1 of PSD2 and electronic money issuers that would like to benefit from the exclusion. Additionally, the guidelines clarify the notification process as per PSD2 and the description of the activities to be made publicly available on the national registers and central register of EBA. The circular applies to all persons providing in Luxembourg services based on specific instruments that can be used only in a limited way as per Article 3(k) of the law on payment services. This circular became applicable as of June 01, 2022.
Related Links
Keywords: Europe, Luxembourg, Banking, CRD IV, Basel, Intermediate Parent Undertakings, Third-Country Groups, PSD2, CSSF
Featured Experts
María Cañamero
Skilled market researcher; growth strategist; successful go-to-market campaign developer
Nicolas Degruson
Works with financial institutions, regulatory experts, business analysts, product managers, and software engineers to drive regulatory solutions across the globe.
Patrycja Oleksza
Applies proficiency and knowledge to regulatory capital and reporting analysis and coordinates business and product strategies in the banking technology area
Previous Article
EBA Sets Out Decision on Reporting for IPU Threshold MonitoringNext Article
ECB Reports Examine Health of Financial Sector in EURelated Articles
EBA Sets Out Roadmap for 2023, Updates Reporting Framework 3.2
The European Banking Authority (EBA) published its work program for 2023 as well as the technical package for phase 3 of version 3.2 of its reporting framework.
FED Announces Launch of Climate Scenario Analysis Exercise in 2023
The Board of Governors of the Federal Reserve System (FED) announced a pilot climate scenario analysis exercise for six largest banks in the U.S.
BIS Paper Studies Impact of Fintech Lending on Small Businesses in US
The Bank for International Settlements (BIS) published a paper that studies impact of fintech lending on credit access for small businesses in U.S.
UK Regulators Issue CRR Changes and Stress Test Scenarios for Banks
The Prudential Regulation Authority (PRA) issued the policy statement PS8/22 to amend the Own Funds and Eligible Liabilities (CRR) Part of the PRA Rulebook and update the supervisory statement SS7/13 titled "Definition of capital (CRR firms).
EBA Launches EU-Wide Transparency Exercise in 2022
The European Banking Authority (EBA) launched the EU-wide transparency exercise for 2022, with results of the exercise expected to be published at the beginning of December, along with the annual Risk Assessment Report.
SRB on CRR Quick-Fix to Policy for Multiple Point of Entry Banks
The Single Resolution Board (SRB) welcomed the adoption of the review of the Capital Requirements Regulation, or CRR, also known as the "CRR quick-fix."
EC Rule Lists Advanced Economies for Market Risk Capital Calculations
The European Commission (EC) recently adopted the Delegated Regulation 2022/1622, which sets out the regulatory technical standards to specify the countries that constitute advanced economies for the purpose of specifying risk-weights for the sensitivities to equity.
EBA Publishes Final Regulatory Standards on STS Securitizations
The European Banking Authority (EBA) published the final draft regulatory technical standards specifying and, where relevant, calibrating the minimum performance-related triggers for simple.
ECB Further Reviews Costs and Benefits Associated with IReF
The European Central Bank (ECB) is undertaking the integrated reporting framework (IReF) project to integrate statistical requirements for banks into a standardized reporting framework that would be applicable across the euro area and adopted by authorities in other EU member states.
EBA Publishes Funding Plans Report, Receives EMAS Certification
The European Banking Authority (EBA) has been awarded the top European Standard for its environmental performance under the European Eco-Management and Audit Scheme (EMAS).
