Decision No. 2021-02 of June 24, 2021 amending Decision No. 2015-01 of April 22, 2015 on the implementation of monetary policy and intraday credit of the Banque de France

1
Decision No. 2021-02 of June 24, 2021 amending Decision No. 2015-01 of April 22, 2015 on the implementation of monetary policy and intraday credit of the Banque de France THE GOVERNOR OF THE BANQUE DE FRANCE Having regard to:

• the Treaty on the Functioning of the European Union, and in particular Article 127(1) and Article 127(2), first indent,
• the Statute of the European System of Central Banks and of the European Central Bank (ECB), and in particular Articles 3.1, first indent, 12.1, 14.3 and 18.2,
• ECB Guideline (EU) 2015/510 of 19 December 2014 on the implementation of the Eurosystem monetary policy framework (ECB/2014/60), as amended,
• ECB Guideline (EU) 2021/889 of 6 May 2021 amending Guideline (EU) 2015/510 on the implementation of the Eurosystem monetary policy framework (ECB/2021/23),
• the Monetary Agreement between the European Union and the Principality of Monaco of 26 December 2001, as amended on 29 November 2011,
• the Monetary and Financial Code, and in particular Article L. 142-8,
• the Governor of the Banque de France Decision No. 2015-01 of 22 April 2015 on the implementation of monetary policy and intraday credit of the Banque de France, as amended,
  HEREBY DECIDES
  Article 1
  Amendments
  The Governor of the Banque de France Decision No. 2015-01 of 22 April 2015 on the implementation of monetary policy and intraday credit of the Banque de France (hereinafter "the Decision") is amended as follows:
  In Article 158, paragraphs 2 and 3 are replaced by the following text:
  "2. In application of the prudential principle, access to Eurosystem monetary policy operations is automatically limited for counterparties that are subject to prudential supervision as referred to in Article 55(b)(i), but do not meet the capital requirements set out in Regulation (EU) No 575/2013, on an individual or consolidated basis, in accordance with prudential requirements, as well as for counterparties that are subject to prudential supervision at a level comparable to that referred to in Article 55(b)(iii), but do not meet requirements comparable to the capital requirements set out in Regulation (EU) No 575/2013, on an individual or consolidated basis. This limitation corresponds to the level of access to Eurosystem monetary policy operations existing at the time this failure is notified to the Eurosystem. This limitation is without prejudice to any other discretionary measure that the Eurosystem may take. If compliance with capital requirements has not been restored by taking adequate measures in good time, at the latest within twenty weeks from the reference date of the data collection exercise during which the failure was identified, counterparties' access to Eurosystem monetary policy operations is automatically suspended in application of the prudential principle.

3. In the context of its assessment of the financial soundness of a counterparty in accordance with Article 55(c), and without prejudice to any other discretionary measure, the Eurosystem may, in application of the prudential principle, limit the access of the following counterparties to Eurosystem monetary policy operations:
   a) counterparties for which information concerning capital ratios or leverage ratios under Regulation (EU) No 575/2013 is incomplete or is not provided to the Banque de France and the ECB in good time and at least fourteen weeks from the end of the relevant quarter; b) counterparties that are not required to report capital ratios and leverage ratios under Regulation (EU) No 575/2013 but for which information of a comparable level, as referred to in Article 55(b)(iii), is incomplete or is not provided to the Banque de France and the ECB in good time and at least fourteen weeks from the end of the relevant quarter. Access is restored as soon as the relevant information is provided to the Banque de France and it is established that the counterparty meets the financial soundness criterion in accordance with Article 55(c). If the relevant information is not provided at least twenty weeks from the end of the relevant quarter, the counterparty's access to Eurosystem monetary policy operations is automatically suspended in application of the prudential principle.".
   Article 2
   Publication and entry into force
4. This Decision is published in the Official Publication Register of the Banque de France.
5. It enters into force on 28 June 2021.
6. This Decision is applicable in the overseas departments and regions, in Saint-Barthélemy, in Saint-Martin, in Saint-Pierre-and-Miquelon, as well as in the Principality of Monaco.
   Done in Paris, on 24 June 2021
   François VILLEROY de GALHAU