Regulatory Alerts2019-09-05
Added · Updated
Banking Package: Main changes of CRD/CRR/BRRD/SRMR review
The Banking Package amends the CRD, CRR, BRRD, and SRMR to strengthen capital adequacy, introduce a binding 3% leverage ratio, and integrate anti-money laundering and ESG risks into the supervisory review process. It raises the O-SII buffer cap to 3%, allows for flexible systemic risk buffers, and revises credit risk frameworks by extending SME supporting factors and permitting preferential treatment for massive non-performing loan disposals. Additionally, the Net Stable Funding Ratio is codified into law with a simplified version for small and non-complex institutions, while Pillar 2 requirements are clarified to distinguish mandatory add-ons from supervisory guidance.