On 16 July 2024, the European Banking Authority (EBA) issued a consultation paper on draft implementing technical standards (ITS) amending Commission Implementing Regulation (EU) 2016/100 specifying the joint decision process with regard to the application for certain prudential permissions pursuant to the Capital Requirements Regulation (CRR).
Commission Implementing Regulation (EU) 2016/100 establishes the process to help Member State competent authorities work together while performing their assessments and preparing their contributions to the joint decision on institutions’ application to use internal models for prudential purposes, including: a) possible involvement of third-country supervisory authorities, b) specification on the procedure for assessing the completeness of application, c) planning of the joint decision process and, more generally, the cooperation between home-host authorities.
Commission Implementing Regulation (EU) 2016/100 is being amended given the overall revised scope for internal models set out in the CRR III, where the possibility to apply these approaches is no longer in place for operational risk. In particular, the references to the Advanced Measurement Approach is being removed from the scope of the revised ITS. Additionally, the draft amending ITS reflect the updated references to the ITS and regulatory technical standards on the functioning of supervisory colleges.
Next steps
The deadline for comments on the consultation is 16 October 2024.
A public hearing will take place on 18 September 2024 from 14:00 to 15:00 CET. Deadline for registration is 13 September at 18:00 CET.
After a consultation period of 3 months, the EBA will submit the final draft ITS to the European Commission for the adoption process. Once published in the EU Official Journal, the draft ITS will amend Commission Implementing Regulation (EU) 2016/100