The European Banking Authority (EBA) has published its final guidelines for common procedures and methodologies for the supervisory review and evaluation process (SREP) under Article 107(3) of the CRD IV Directive.

The guidelines introduce consistent methodologies for the assessment of risks to both capital and liquidity, and for the assessment of capital and liquidity adequacy. The guidelines will apply from 1 January 2016, at which point a number of earlier Committee of European Banking Supervisors/EBA guidelines on the SREP and wider Pillar 2 related topics will be repealed.

View Guidelines on common procedures and methodologies for the supervisory review and evaluation process (SREP), 19 December 2014