The European Banking Authority (EBA) has published a Discussion Paper on a draft methodology for the assessment of liquidity and funding risk under the supervisory review and evaluation process (SREP).
The Discussion Paper sets out the EBA’s current plans for the common methodology and process for assessing liquidity and funding risk that will form part of the overall SREP guidelines. The aim is to provide supervisors with a common understanding of the elements to be assessed and the criteria to be used in this assessment. The draft methodology will be further revised to embed it into the overall framework of the SREP guidelines and the single supervisory handbook and to ensure consistency with the wording of the SREP guidelines.
The deadline for responses to the Discussion Paper is 28 February 2014. The EBA also intends to publish a Consultation Paper on the SREP guidelines.
View Discussion Paper: Draft methodology for assessment of liquidity and funding risk under SREP, 19 December 2013