On 16 June 2023, the Single Resolution Board (SRB) issued new guidance on liquidity in resolution data for EU banks under its direct remit.

The guidance covers the liquidity aspect of the SRB’s ‘Expectations for banks’ (EfB) which seeks to enhance banks’ resolvability and preparedness for a potential resolution.

The guidance focuses on three objectives, these are that SRB banks have:

  • Internal frameworks, governance and management information systems are set up to meet the data expectations set out in the guidance, including the ability to forecast the net liquidity position across time periods and at short notice.
  • Developed the capabilities to report a predefined set of data points on their liquidity situation.
  • Put in place remedial actions to mitigate any deficiencies in their capabilities to provide these data points at the requested level of consolidation and at a high level of frequency.

SRB banks are expected to build EfB capabilities for a steady state of resolution planning by 31 December 2023.