On August 19, 2015, the European Banking Authority (EBA) published a call for advice (dated 26 June 2015) it has received from the European Commission on the EBA’s reports on net stable funding requirements (NSFR) and leverage ratio (LR) required under the Capital Requirements Regulation (Regulation 575/2013) (CRR).
The purpose of these reports is to assist the Commission in its own work preparing reports on the NSFR and the LR, and potentially legislative proposals, for the European Parliament and the Council of the EU.
In the call for advice, the Commission seeks the EBA’s technical advice on specific issues relating to:
-
Proportionality. The Commission asks the EBA to consider simplified LR and NSFR reporting requirements and different NSFR calibrations for certain firms.
-
Scope of application. The Commission asks the EBA to consider whether certain types of credit institution should be fully excluded from the LR and NSFR.
-
Impact of the NSFR on certain markets and activities. The Commission asks the EBA to examine the impact of the NSFR on issues including bank lending, the volume and liquidity of financial markets and business models.
