Capital adequacy

On 10 February 2025, the European Central Bank (ECB) issued a document that reminds EU banks of some of the ECB’s main supervisory expectations on sound and effective capital and liquidity management in line with the 2018 ECB guides on the internal capital/liquidity adequacy assessment processes (ICAAP / ILAAP). The document provides certain

On 10 February 2025, the Single Resolution Board issued a press release announcing that the Single Resolution Fund’s target level remains reached at the end of 2024. The Single Resolution Fund’s target level, of at least 1% of covered deposits held in Banking Union Member States, is verified annually. As of 31 December 2024, the

On 10 February 2025, the European Commission issued a call for evidence on the Capital Requirements Regulation to make permanent the current transitory prudential treatment for securities financing transactions and unsecured transactions with a residual maturity of less than six months, with financial customers, for the purpose of the net stable funding requirement.

The Commission

On 3 February 2025, the European Systemic Risk Board published a report ‘Systemic liquidity risk: a monitoring framework’.

The report contains a specific operational definition of systemic liquidity risk and its essential dimensions. It then discusses which entities and markets are key and should therefore be systematically monitored for emerging liquidity risks. Based on

On 3 February 2025, the European Commission adopted a Delegated Regulation amending the regulatory technical standards laid down in Delegated Regulation (EU) 2022/2059, Delegated Regulation (EU) 2022/2060 and Delegated Regulation (EU) 2023/1577 as regards the technical details of back-testing and profit and loss attribution requirements, the criteria for assessing the modellability of risk factors, and

On 31 January 2025, the European Central Bank and the European Systemic Risk Board issued a joint report that describes the experience of countries that have adopted a positive neutral countercyclical capital buffer (CCyB) approach, as well as the views of those that have not. It outlines the perceived costs and benefits, implications

On 28 January 2025, the European Commission adopted a Commission Delegated Regulation amending the regulatory technical standards laid down in Delegated Regulation (EU) 2021/931 as regards the specification of the formula for calculating the supervisory delta of call and put options mapped to the commodity risk category for the purposes of Article 279a(3) of the

On 21 January 2025, the European Banking Authority (EBA) issued an opinion that sets out how Member State competent authorities (NCAs) should account in their Supervisory Review and Evaluation Process (SREP) for the application of Article 104a(6) of the Capital Requirements Directive IV (CRD IV) on 11

On 20 January 2025, the European Banking Authority (EBA) launched its 2025 EU-wide stress test and released the macroeconomic scenarios.

The 2025 exercise covers a sample of 64 banks – 51 from the Eurozone – representing about 75% of EU banks’ total assets. The EU-wide stress test is conducted at the highest level