FROM THE MEDIA

Reuters: Tackling the wealth gap, governments and central banks step up to act

As authorities around the world look to reshape economies in the face of the COVID-19 shock, tackling growing inequality is on the priority list for many. In the Eurozone, the European Central Bank (ECB) is looking at challenges posed by inequality in a strategic review of its monetary policy while policymakers are hoping a 750 billion euro recovery fund will help address inequality by boosting long-term growth potential. Reuters goes through the different proposals put forward by governments, central banks, and global bodies, paying careful attention to the work of Germany and the UK. Read more

Bloomberg: ECB probes whether Goldman, peers still too tied to London

The European Central Bank is stepping up scrutiny of global investment banks’ risk management within the region to ensure they’re not relying on London units even after Brexit, according to people familiar with the matter. According to Bloomberg, the ECB and national regulators are taking a granular look at where banks have key staff and book trades in order to ensure that risks related to European Union clients are accounted for in the bloc rather than slipping from their oversight, said the people, who asked to remain anonymous as the matter is private. Read more
 

VOX/CEPR: A new template for the European fiscal framework

The temporary suspension of the European fiscal rules to enable member states to take emergency measures against the Covid crisis offers an opportunity for an ambitious reform of a now clearly outdated fiscal framework. The reactivation, now foreseen in 2023, should be made contingent on a political agreement on reforming the fiscal framework and proposes a comprehensive reform in which the new European fiscal framework would prioritize externalities arising from debt sustainability risks and demand spillovers. Fiscal targets should be differentiated depending on country vulnerabilities and implemented in a more decentralized way. Read more

MAIN EVENTS today and tomorrow

Thursday 27 May

• European Commission and ECB ‘European Financial Integration and Stability’ conference 

• EBI ‘Central Bank Digital Currency and the Future of Banking’ event

• Financial Times ‘The future of asset management in Europe’ conference

• Council Working Party on Tax Questions (Indirect Taxation) meeting

• Resolution Foundation ‘Building back better — Structural change in post-pandemic economies’ event

• Chatham House ‘Addressing the climate emergency while staying competitive’ event

• BFF Webinar: The COVID-19 pandemic – a financial stability perspective by Francesco Mazzaferro, Head of the Secretariat of the European Systemic Risk Board (ESRB)

• EBF Executive Committee virtual meeting

Friday 28 May

• European Banking Authority hearing on ALMM reporting

• Eurostat: Economic Sentiment Indicator & Business Climate Indicator (May 2021)

• Dublin City University MBA Class. EBF Director of Innovation & Cybersecurity Alexandra Maniati speaking

• EBF Board virtual meeting

For a full-year overview of key financial regulation events: click here

FROM THE EBF MEMBERS
 

FROM THE INSTITUTIONS

EBA: Final draft Regulatory Technical Standards (RTS) on own funds and eligible liabilities

The European Banking Authority (EBA) published its final draft of Regulatory Technical Standards (RTS) on own funds and eligible liabilities. The draft RTS aligns existing provisions to changes introduced in the revised Capital Requirements Regulation (CRR) in the area of own funds, in particular for provisions relating to the regime of supervisory prior permission for the reduction of own funds. With the CRR introducing new criteria and requirements for eligible liabilities, these amended RTS capture several aspects of eligible liabilities as well as the changes to the own funds framework. Read more

SRB: Update on MREL policy and MREL dashboard Q4.2020

The Single Resolution Board (SRB) published its updated ‘Minimum Requirements for Own Funds and Eligible Liabilities (MREL) Policy under the Banking Package’. The updated policy introduces new elements and refinements, based on the changes required by the Banking Package. Besides, the minimum requirement for own funds and eligible liabilities (MREL) dashboard covering the reporting period Q4.2020 has also been published. Read more

ECB: Fabio Panetta: Too early to reduce policy support

Favorable financing conditions should be maintained. Although the economic situation is improving, the recovery is not yet self-sustaining, says Fabio Panetta, Executive Board member of the European Central Bank (ECB) in an interview with Nikkei. He also addresses the issues of digital euro and inflation in the euro area. Read more

FROM THE EUROPEAN BANKING FEDERATION

European Commission’s DORA proposal (2020): EBF position

The EBF welcomes the European Commission’s aim to enhance operational resilience in Europe. The financial industry’s own considerations will benefit from more harmonized ICT-related rules at the European level, aligned with the existing supervisory framework today. Read more

ABOUT THE EUROPEAN BANKING FEDERATION
 

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For questions or suggestions contact mediacentre@ebf.eu


European Banking Federation