Follow Us

Follow us on Twitter  Follow us on LinkedIn

27 February 2015

EBA consults on prudential requirements for central securities depositories

Default: Change to:

These RTS have been developed within the framework established by the Regulation on settlement and Central Securities Depositories, which aims to increase the safety and efficiency of securities settlement and settlement infrastructures.

The European Banking Authority (EBA) launched a public consultation on draft RTS on prudential requirements for central securities depositories (CSDs).

The first part of the draft RTS defines the capital requirements for CSDs with a view to harmonise the diverse practices across the EU, as well as to specify a prudential framework for those CSDs that provide banking-type ancillary services.

As CSDs providing banking-type of ancillary services need to comply in parallel with the capital requirement rules of the Capital Requirements Regulation (CRR), the possible differences between these two regimes have been considered in a way to ensure that the stricter rules on prudential supervision apply.

The second part of the draft RTS includes the methodology to determine how an additional risk-based capital surcharge should be calculated by those CSDs offering banking-type ancillary services so as to reflect the risks resulting from the provision of intra-day credit.

The last part of the draft RTS lay out the requirements regarding the framework and the tools the CSDs are required to develop to properly monitor, measure, manage and disclose credit and liquidity risks, including those that occur intraday.

Comments to this consultation can be sent to the EBA by 27 April 2015. A public hearing will then take place at the EBA premises on Monday 23 March at 13:00 UK time.

Press release

Full consultation


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

Add new comment