On 1 December 2023, the European Commission published a draft Delegated Regulation supplementing the Capital Requirements Directive IV (CRD IV) with regard to regulatory technical standards (RTS) specifying a standardised methodology to evaluate the risks arising from potential changes in interest rates that affect both the economic value of equity and the net interest income of an institution’s non-trading book activities together with an annex.

The draft Delegated Regulation been prepared in accordance with Article 84(5) of the CRD IV and specifies standardised and simplified standardised methodologies to evaluate the risks arising from potential changes in interest rates that affect both the economic value of equity and the net interest income of an institution’s non-trading book activities.

The draft Delegated Regulation enters into force on the twentieth day following its publication in the Official Journal of the EU.