Prudential, Supervision and Resolution

WSBI-ESBG is a propoponent of the proportionality principle.

Banking legislation: Strike the right balance

WSBI-ESBG is a propoponent of the proportionality principle, an instrument that aims to achieve the right balance between the objectives pursued by legislation and the methods used to achieve them.
It is needed balance to prevent the financial system and its regulatory framework ​from creating disproportionate obligations to banks that do not adjust to the standards ​of size, complexity, business model, and cross-border activity. When proportionality is applied properly, it creates an evironment for further innovation, ​sustainable finance as well as finanical inclusion by savings and retail banks.

Prudential treatment of software investments

In today’s digital era, the current approach of the EU-Legislator to the capital treatment of software assets is a disadvantage in comparison with non-EU banks and FinTech Companies and must be tackled in order to achieve a level playing field, preserve fair competition and advance technological innovations and digitalisation in the financial (banking) sector.

Our latest content on Prudential, Supervision and Resolution

ESBG submitted its response to the EBA consultation on DGS contribution calculation

Enhancing the proportionality between the riskiness and the DGS contribution.

ESBG responds to the EBA consultation on the supervisory handbook for IRB systems validation

The handbook aims to clarify the role of the validation function as part of corporate governance, in particular in terms of scope of work and interaction with the credit risk control unit.

ESBG short paper on the bank crisis management and deposit insurance framework (CMDI)

We welcome both the decision to update the Supervisory Review and Evaluation Process (SREP) Guidelines and the overarching objectives to increase convergence of practices across the EU and to align…

ESBG keeps a close eye on prudential treatment of crypto assets

On 30 September 2022, ESBG responded to the second public consultation of the Basel Committee on Banking Supervision (BCBS) on...

Reducing the scope of the EBA NPLs data templates

ESBG responded to the EBA consultation on the draft non-performing loans (NPL) transaction data templates, which seek to improve the functioning of secondary markets for NPLs.

Developing a proportionate, fair and efficient IRRBB framework in the EU

On 4 April 2022, ESBG responded to the EBA consultation specifying technical aspects of the revised framework capturing interest rate risks for banking book (IRRBB) positions.