A work in progress: “ITS” on Supervisory Disclosures

The European Banking Authority has launched a public consultation on the draft Implementing Technical Standards (ITS), for supervisory disclosures under the CRD regime. The draft ITS incorporates amendments to the EU legal framework, notably in relation to supervisory reporting and investment companies.

In particular, the consultation paper outlines changes to Implementing Regulation 650/2014/EU, which lays down implementing technical standards with regard to the format, structure, contents list and annual publication date of the information that authorities are obliged to disclose on the access to the business activity and prudential supervision of credit institutions and investment firms (CRD IV).These changes are reflective of modifications resulting from:

  • legislation introducing the banking package pursuant to Directive 2019/878/EU, a directive which, in turn, amends the Capital Requirements Directive 2013/36/EU (CRD V);
  • Regulation 2019/876/EU amending Capital Requirements Regulation 575/2013/EU (CRR2).

The draft makes particular reference to the information that competent authorities are required to disclose on standards, guidelines, options, discretions, general criteria, methodologies for the review process, prudential assessment and aggregate statistical data on key aspects of the implementation of the prudential framework.

Furthermore, by adjusting the current supervisory reporting framework, this will enhance the quality and comparability of data reported by supervisors while increasing market transparency with greater levels of disclosure.

 The consultation will close on the 9th March 2023.