We are always working to improve this website for our users. To do this, we use the anonymous data provided by cookies. Learn more about how we use cookies
We are always working to improve this website for our users. To do this, we use the anonymous data provided by cookies. Learn more about how we use cookies
We need a consistent framework for managing crises of small and medium-sized banks, says Supervisory Board Chair Andrea Enria. Key ingredients are a European deposit insurance scheme, regulatory harmonisation, and European tools for the liquidation of banks of all sizes.
Our relief measures have helped banks to provide new loans to crisis-hit firms, Supervisory Board member Édouard Fernandez-Bollo tells Revue Banque. Banks now need to adequately manage any fall in asset quality, also for exposures benefiting from moratoria or public guarantees.
The ECB will use its supervisory tools to facilitate sustainable consolidation among banks. We encourage banks to engage with supervisors early on and explain our expectations in a guide, which also benefited from banks’ input.
Keynote speech by Andrea Enria, Chair of the Supervisory Board of the ECB, at the Banca d’Italia workshop on the crisis management framework for banks in the EU
Introductory remarks by Elizabeth McCaul, Member of the Supervisory Board of the ECB, at the Florence School of Banking & Finance Online Seminar “Bank Boards and Supervisory Expectations”
Interview with Édouard Fernandez-Bollo, Member of the Supervisory Board of the ECB, conducted by Laure Bergala on 11 December 2020 and published on 15 January 2021
Interview with Andrea Enria, Chair of the Supervisory Board of the ECB, conducted by Bernd Neubacher and Tobias Fischer and published on 30 December 2020
Interview with Andrea Enria, Chair of the Supervisory Board of the ECB, conducted by George Syriopoulos on 24 November 2020 and broadcast on 28 November 2020
Interview with Yves Mersch, Member of the Executive Board of the ECB and Vice-Chair of the Supervisory Board of the ECB, conducted by Martin Arnold on 23 November 2020
Blog post by Elizabeth McCaul, Member of the Supervisory Board of the ECB
Summary
Strong credit risk management to avoid bad loans piling up now will maximise value, avoid cliff effects and reduce the risk of procyclical effects, writes Supervisory Board member Elizabeth McCaul. Inaction would disrupt the supply of credit and liquidity and delay the recovery.
By Andrea Enria, Chair of the Supervisory Board of the ECB, and Edouard Fernandez-Bollo, Member of the Supervisory Board of the ECB
Summary
We need to foster the integration of cross-border banking groups to ensure that timely liquidity support is provided within them, Andrea Enria and Edouard Fernandez-Bollo say in our latest blog post. To achieve this, recovery plans could be strengthened by using group support agreements.
By Andrea Enria, Chair of the Supervisory Board of the ECB
Summary
Euro area banks are resilient to the stress caused by the coronavirus crisis, our analysis shows. The assessment of the results justifies our decision to extend our dividend recommendation. Supervisory Board Chair Andrea Enria also clarifies the timeline for banks to replenish capital and liquidity buffers.
Blog post by Yves Mersch, Member of the Executive Board of the ECB and Vice-Chair of the Supervisory Board of the ECB
Summary
The ECB will continue to engage with all banks affected by Brexit to ensure that they achieve their target operating models in a timely manner, says Supervisory Board Vice-Chair Yves Mersch. We will not accept banks attempting to operate as empty shells.
Blog post by Kerstin af Jochnick, Member of the Supervisory Board of the ECB
Summary
How do we ensure that supervision remains effective during the crisis, and which aspects will be crucial in determining the shape of the EU banking sector in the medium term? These are the key questions supervisors must now answer, writes Supervisory Board member Kerstin af Jochnick.
A loan that looks unlikely to be repaid in full becomes non-performing and will probably generate a loss. Banks protect themselves against expected future losses by booking provisions. But what does provisioning mean in practice, and what is coverage for non-performing loans?
Our online supervisory services are just a few clicks away! Use the banking supervision portal to launch and follow supervisory processes online, to exchange content with ECB staff, or to report a suspected breach of EU banking supervision law through the whistleblowing platform.
