The aim of the new rules is to make the European financial sector more resilient in light of the experiences from the financial crisis.
The Directive is based on the Basel Committee’s recommendation, the Basel III standards from December 2010, and covers a number of elements with respect to regulation of credit institutions, including especially requirements for more and better capital in the banks and the introduction of new liquidity regulation. Finally, the proposal also includes elements of good corporate governance and a tightening of the requirements for the Member States’ sanctions towards non-complying institutions.
Minister for Economic Affairs and the Interior Margrethe Vestager says: "The revision of the EU’s Capital Requirements Directive is the single most important piece of financial regulation. The financial crisis showed that it is imperative to set higher capital requirements for banks in order to ensure a healthy and responsible financial sector that contributes to growth and employment. The ECOFIN meeting on 2 May showed that there was a large majority supporting the Presidency’s proposal. At tomorrow’ meeting, I therefore expect that we will confirm the compromise from 2 May in order to secure an agreement with the European Parliament".
Press release
© European Council
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