Comprehensive Banking Assessment By ECB: October 2013 - Preparation For Single Supervisory Mechanism.pdf

2013-10-23-ezb-note-download.pdf
Preview of Comprehensive Banking Assessment by ECB: October 2013 - Preparation for Single Supervisory Mechanism
🔗 Source: bundesbank.de
📊 Size: 355 KB
👤 Author: European Central Bank
⬇️ Downloads: 29

Summary

The ECB and participating national competent authorities will conduct a comprehensive assessment of the banking system in line with the SSM Regulation, which will enter into force in early November 2013. The assessment will be completed by October 2014, prior to the ECB's new supervisory tasks in November 2014. The exercise will comprise a supervisory risk assessment, an asset quality review and a stress test. The integrated outcome may lead to follow-up actions, including requirements for changes in a bank's provisions and capital. The comprehensive assessment aims to provide transparency, repair weaknesses, and build confidence in banks' soundness. The ECB will conduct the exercise in cooperation with NCAs, using a system-wide approach to cover approximately 85% of euro area bank assets. The NCAs will execute the exercise at the national level, with quality assurance measures integrated into all processes. The ECB will also receive independent advice from Oliver Wyman on the methodology and design of the exercise. The comprehensive assessment will cover significant banks, as defined by the SSM Regulation, and will comprise three pillars: supervisory risk assessment, asset quality review and stress test. The ECB and NCAs are jointly developing a new risk assessment system that will be deployed as a key supervisory tool in the future SSM.

Description

The European Central Bank (ECB) and national competent authorities conduct a comprehensive banking assessment in October 2013, ahead of the single supervisory mechanism's (SSM) November 2013 launch, to prepare for the ECB's direct supervision role in 2014. This process aims to clarify banks under ECB supervision by gathering relevant data from participating Member States' NCAs.

Technical Information

  • File Format: PDF
  • File Size: 355 KB
  • Pages: 17
  • Language: EN
  • Author: European Central Bank
  • Total Downloads: 29
  • Last Updated: 3 weeks ago

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