SSM could impact the mediation role of the EBA. With the current set-up, ECB as an independent institution is not subject to the mediation of the EBA, while mediation of the EBA is binding for all member countries. This brings about the complaints of the euro-outs.
The team comprised Fabiana Melo and Nadege Jassaud, Monetary and Capital Markets Department, IMF.
The team’s analysis relied on interviews, the self assessment and internal procedures documents, but the team did not have access to internal minutes and work papers that could substantiate a more comprehensive review.
Barclays, March 2012, Can European bank funding be fixed?
631 institutions in Ireland (mainly as a consequence of the reclassification of 419 credit unions as credit institutions on January 1, 2009) and in Malta and Slovakia, as a consequence of joining the EU.
Credit Institutions are undertakings whose business is to receive deposits or other repayable funds from the public and to grant credits from their own account, deposits, or other repayable funds.
Based on a sample of 90 largest EU banks (same sample as for the EBA stress test), using Bloomberge data.
Tier 1 ratio excluding hybrid instruments—as a proxy of the core Tier 1 ratio—based on EBA data (57 banks with not all banks reporting all data for all periods).
In the absence of a comprehensive list of EEA cross-border banking groups and their establishments, EBA staff rely on what competent authorities duly reported.
Adoption of technical standards requires qualified majority. “With regard to regulatory technical standards, implementing technical standards, guidelines and recommendations (Articles 10, 15, and 16 of the Regulation) and measures and decisions adopted under the third subparagraph of Article 9(5) of the Regulation and under Chapter VI of the Regulation, decisions of the Board of Supervisors shall be taken on the basis of a qualified majority of its members.”
The agreement reached in the ECOFIN Council on December 13 provides that decisions on breaches of EU law and on binding mediation will be taken by the Boss upon proposal by the panel, by a double majority (majority of the participating and the non-participating member states). On regulatory decisions of a horizontal nature (e.g., draft technical standards, guidelines, recommendations) the principle of qualified majority is also combined with a requirement for a double simple majority. The Council compromise is still subject to discussions with the European Parliament which are expected to conclude early in 2013.
EBA DC 030, Decision of the European Banking Authority adopting a Procedure for developing and adopting Draft Technical Standards and Guidelines and Recommendations
A separate report on stress test was produced during the FSAP. This note will not detail the issue.