On 17 March 2026, the European Banking Authority (EBA) issued two consultations on initial margin model authorisation under the European Market Infrastructure Regulation (EMIR) as amended by Regulation (EU) 2024/2987 (EMIR 3).

Under the new EMIR 3 rules, counterparties using internal initial margin models must obtain prior authorisation from their Member State competent authority (NCA).

The two consultations cover draft:

  • Regulatory Technical Standards (RTS) on the authorisation of initial margin models under Article 11(15) of EMIR. The draft RTS reflect a significant change compared to the previous draft RTS for initial margin models. They have been substantially revised to align with EMIR 3, notably the establishment of the EBA as central validator of pro forma models and the application of the draft RTS exclusively to counterparties belonging to large groups with monthly aggregate average outstanding notional of at least EUR 750 billion. The draft RTS complement the European Supervisory Authorities’ (ESAs) RTS on uncleared over-the-counter (OTC) derivatives (Commission Delegated Regulation (EU) 2016/2251 of 4 October 2016), which establish that counterparties, within the scope of EMIR, exchange initial margins when they enter an OTC derivatives transaction not cleared by a central counterparty, and to do so, they are allowed to use an initial margin model.
  • Guidelines on the authorisation of initial margin models under Article 11(3) EMIR. Article 11(3), sixth subparagraph, EMIR empowers the EBA, in cooperation with the other ESAs, to issue guidelines or recommendations with a view to ensuring the uniform application and authorisation process of risk-management procedures. The draft Guidelines detail two core aspects of the authorisation process: (i) the minimum set of information to be included in an application for authorisation of the use of an initial margin model; and (ii) guidance on what constitutes a change triggering the need for (re-)authorisation. The draft Guidelines also set out notification obligations on aspects relevant for the authorisation, or its withdrawal, as well as guidance on the specific documentation that less active counterparties should have in place on a permanent basis and should be able to make available to NCAs upon request.

Next steps

The deadline for comments on both consultations is 17 June 2026.

A public hearing on will take place on 4 May 2026 from 10:00 to 12:00 CEST. Deadline for registration is 30 April 2026 at 16:00 CEST.

Following the feedback received from the consultation, the EBA will revise the proposed draft RTS, where appropriate, and submit them in their final form to the European Commission for adoption.

The EBA will revise the draft Guidelines, where appropriate, considering the feedback collected during the consultation, and make the final version public. It is currently intended to gradually roll-out the application of the Guidelines (when finalised) over a period of 18 months, staggering the application for different groups of counterparties based on the significance of their OTC trading activities.