FINANCE - Commission presents package to strengthen EU banking sector as well as proposals to fine-tune financial services rules

The European Commission has today put forward a package of proposals aimed at completing the reform of the financial regulatory system launched in the wake of the financial crisis. The package includes proposed amendments to the Capital Requirements Regulation (CRR) and Directive (CRD) as well as the Bank Recovery and Resolution Directive (BRRD) and the Single Resolution Mechanism Regulation (SRMR). The amendments contain measures that will strengthen the resilience of the EU banking sector and thereby increase markets' confidence in it. The proposals have three concrete goals:

Related topics

Single resolution mechanism Bank recovery and resolution Derivatives & EMIR

date: 23/11/2016

To enhance EU banks and investment firms' resilience and thus enhance financial stability;
To improve banks' lending capacity to support the EU economy;
To further facilitate the role of banks in achieving deeper and more liquid EU capital markets.

The package also implements the Total Loss-Absorbing Capacity (TLAC) standard that is applicable to global systemically important banks, adopted by the G-20 in 2015. The legislative proposals now go to the European Parliament and the Council for their consideration and adoption.

The Commission has also set out proposals for a number of areas where it believes targeted follow-up action is needed to fine-tune the EU's financial services framework. The proposals are the result of a comprehensive consultation ('call for evidence') with over 300 responses gathered over the past 14 months.

Complementing this follow-up to the 'call for evidence', the Commission also published a report on the review of EMIR, the Regulation on over-the-counter (OTC) derivatives, central counterparties and trade repositories.

Watch recording of press conference

Read more on the EU banking sector, the 'Call for evidence' and EMIR