International Regulatory Updates

The European Banking Authority (EBA) published today the results of its 2021 EU-wide stress test, which involved 50 banks from 15 EU and EEA countries, covering 70% of the EU banking sector assets. This exercise allows to assess, in a consistent way, the resilience of EU banks over a three-year hori ...

The European Central Bank (ECB) today published the results of the 2021 stress test, which show that the euro area banking system is resilient to adverse economic developments. The Common Equity Tier 1 (CET1) capital ratio of the 89 banks in the stress test would fall by an average of 5.2 percent ...

The European Central Bank (ECB) today decided not to extend beyond September 2021 its recommendation that all banks limit dividends. Instead, supervisors will assess the capital and distribution plans of each bank as part of the regular supervisory process. In March 2020 the ECB asked banks not ...

The European Central Bank (ECB) has today published the results of a comprehensive assessment of two Italian cooperative banks, one Estonian bank and one Lithuanian bank. The four banks, Cassa Centrale Banca – Credito Cooperativo Italiano S.p.A., Iccrea Banca S.p.A – Istituto Centrale del Credit ...

Capital Adequacy The aggregate capital ratios of significant institutions (i.e. banks that are supervised directly by the ECB) declined slightly in the first quarter of 2021 compared with the previous quarter. The aggregate Common Equity Tier 1 (CET1) ratio stood at 15.49%, the aggregate Tier 1 rat ...

The European Banking Authority (EBA) published today its quarterly Risk Dashboard together with the results of the spring edition of the Risk Assessment Questionnaire (RAQ). The Q1 data shows that the CET1 ratio increased slightly on a fully loaded basis. The NPL ratio improved further, except for s ...

The European Central Bank (ECB) today launched a public consultation on updates to its harmonised policies for exercising the options and discretions that it is allowed to exercise under European Union law when supervising banks. The European legislative framework grants supervisors the authority ...

The European Banking Authority (EBA) published today an analysis of the current RegTech landscape in the EU. The Report assesses the overall benefits and challenges faced by financial institutions and RegTech providers in the use of RegTech. It also identifies potential risks arising from RegTech s ...

The European Central Bank (ECB) will supervise the largest and most systemic investment firms under new European Union (EU) legislation, which applies as of 26 June 2021. These investment firms must apply for a banking licence and as a consequence will be supervised by the European Central Bank. The ...

The European Commission, the European Central Bank in its banking supervisory capacity (ECB Banking Supervision), the European Banking Authority (EBA) and the European Securities and Markets Authority (ESMA) today issued a joint statement in which they strongly encourage market participants to use ...