Follow Us

Follow us on Twitter  Follow us on LinkedIn

Article List:

 

02 December 2019

Financial supervision: Council adopts a review of the supervisory framework for financial institutions


The EU will have an improved supervisory framework for European financial institutions in place by the end of the year. The Council adopted a first fundamental review of the functioning of the European system of financial supervision (ESFS).

The ESFS was established in 2011 and consists of:

  • three European supervisory authorities (ESAs): the European banking authority (EBA), the European insurance and occupational pensions authority (EIOPA) and the European securities and markets authority (ESMA). They supervise and provide regulatory guidance for individual sectors and institutions.
  • the European systemic risk board (ESRB) which oversees the financial system as a whole and coordinates EU policies for financial stability.

These authorities play a key role in ensuring that the financial markets across the EU are well regulated, strong and stable. They contribute to the development and consistent application of the single rulebook, solve cross-border problems, and thereby promote both regulatory and supervisory convergence.

The texts adopted today review tasks, powers, governance and funding of the ESAs and the ESRB, so as to adapt the authorities to the changed context in which they operate.

The reform also includes provisions reinforcing the role of the EBA as regards risks posed to the financial sector by money laundering activities.

Full press release European Council

Regulation amending ESAs on European Council

Regulation amending ESRB on European Council

Directive amending MIFID/Solvency 2 on European Council



© European Council


< Next Previous >
Key
 Hover over the blue highlighted text to view the acronym meaning
Hover over these icons for more information



Add new comment