The European Banking Authority (EBA) has published a summary report on the comparability and pro-cyclicality of capital requirements under the internal ratings based (IRB) approach. The summary report gives an overview of the findings of five separate reports published by the EBA, namely the:

  • first interim report on the consistency of risk-weighted assets (RWAs) – top-down assessment of the banking book;
  • second interim report on the consistency of risk-weighted assets – low default portfolios;
  • third interim report on the consistency of risk-weighted assets – SMEs and residential mortgages;
  • report on the comparability of supervisory rules and practices; and
  • report on the pro-cyclicality of capital requirements under the IRB.

As a result and in an effort to progress forward, the EBA details in a separate press release that it will concentrate its future efforts on the following:

  • enhancing disclosure and transparency of RWA-related information;
  • supporting competent authorities in properly implementing the single rulebook with the delivery of existing mandates set out in the CRR; and
  • developing additional guidance that specifically addresses and facilitates consistency in supervisory and banks’ practices.

View Summary report on the comparability and pro-cyclicality of capital requirements under the internal ratings based approach in accordance with article 502 of the Capital Requirements Regulation, 17 December 2013

View EBA publishes reports on comparability of risk weighted assets and pro-cyclicality, 18 December 2013

View Interim results of the EBA review of the consistency of risk-weighted assets: top-down assessment of the banking book, 26 February 2013

View Interim results update of the EBA review of the consistency of risk-weighted assets – low default portfolio analysis: external report, 5 August 2013

View Third interim report on the consistency of risk weighted assets – SME and residential mortgages: external report, 17 December 2013

View Report on the comparability of supervisory rules and practices, 17 December 2013

View Report on the pro-cyclicality of capital requirements under the internal ratings based approach, 17 December 2013

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