On 15 November 2022, the European Banking Authority (EBA) issued a consultation paper containing draft guidelines addressed to institutions and resolution authorities on resolvability testing.
The draft guidelines seek to introduce a common framework for resolution testing by:
- Introducing a self-assessment by resolution banks of their resolvability focusing on the minimum standard set by the January 2022 EBA resolvability and transferability guidelines.
- Requiring authorities to develop a multi-annual testing programme for each resolution bank so that institutions would demonstrate the adequacy of their resolvability capabilities as set out in the EBA resolvability guidelines.
- Introducing a master playbook for the most complex banks.
The deadline for the consultation is 15 February 2023.
A public hearing will take place via conference call on 11 January 2023 from 9:30 to 11:30 (CET).