On 13 January 2022, the European Banking Authority issued final guidelines for institutions and resolution authorities on improving banks’ resolvability.
The guidelines take stock of the best practices developed so far by EU resolution authorities on resolvability topics and set-out requirements to improve resolvability in the areas of operational continuity in resolution, access to financial market infrastructure, funding and liquidity in resolution, bail-in execution, business reorganisation and communication. Institutions and authorities should comply with the guidelines in full by 1 January 2024.
The EBA also launched a consultation paper on guidelines for institutions and resolution authorities on transferability of parts of or a whole bank in the context of resolution to complement the resolvability assessment for transfer strategies. The draft guidelines seek to assess the feasibility and credibility of transfer strategies and encompass requirements relating to the implementation of transfer tools when considered as the preferred or alternative strategies for institutions. The consultation runs until 15 April 2022.