Activities of Costas MAVRIDES related to 2020/2122(INI)
Plenary speeches (1)
Banking Union - annual report 2020 (debate)
Shadow reports (1)
REPORT on Banking Union – annual report 2020
Amendments (37)
Amendment 28 #
Motion for a resolution
Recital B a (new)
Recital B a (new)
B a. whereas both the ECB and the SRB call for the swift completion of the Banking Union namely with the establishment of the EDIS (European Deposit Insurance Scheme);
Amendment 34 #
Motion for a resolution
Recital C
Recital C
C. whereas the lack of a solution to the treatment of sovereign debt exposures andin the banking prudential framework national options and discretions persists, undermining the European dimension of the Banking Union;
Amendment 43 #
C a. whereas the regulatory treatment of sovereign debt exposures in the EU is in line with international standards;
Amendment 54 #
Motion for a resolution
Recital E
Recital E
E. whereas consumer protectionand investor protection is paramount to the deepening of the Capital Markets Union (CMU), but varies across the Banking Union;
Amendment 59 #
Motion for a resolution
Recital F
Recital F
F. whereas prudential and anti-money laundering supervision is necessaryfully harmonised standards and institutional cooperation on the prudential aspects of anti-money laundering and anti-money laundering supervision and enforcement are necessary to protect the integrity of the EU’s financial system;
Amendment 66 #
Motion for a resolution
Recital G
Recital G
G. whereas the withdrawal of the UK from the EU has resulted in the relocation of some banking services to the EU;
Amendment 68 #
Motion for a resolution
Recital H
Recital H
H. whereas the EU and the UK are currently committed to maintaining regulatory and supervisory cooperation in the field of financial services; whereas this engagement by the UK should be kept for future relations;
Amendment 76 #
Motion for a resolution
Recital J
Recital J
J. whereas depositors across the Banking Union shouldmust enjoy the same level of protection;
Amendment 92 #
Motion for a resolution
Paragraph 2
Paragraph 2
2. Recalls that the Banking Union has delivered the institutional set-up for greater market integration, through the SSM and the SRM, while its third pillar, a European deposit insurance scheme (EDIS) is still lacking;
Amendment 104 #
Motion for a resolution
Paragraph 3 a (new)
Paragraph 3 a (new)
3 a. Notes that the full implementation of the Banking Union is necessary to deliver better conditions for the financing of the European economy, both to households and companies, still largely reliant on bank credit to foster investment and job creation;
Amendment 119 #
Motion for a resolution
Paragraph 5
Paragraph 5
5. Underlines the vital contribution to addressing the crisis of public guarantee schemes, moratoria on loan repayments for borrowers in financial difficulty, the central banks’ liquidity programmes and the ECB’s targeted longer-term refinancing operations (TLTRO) and pandemic emergency purchase programme (PEPP); stresses the importance of keeping the above measures in place as long as necessary;
Amendment 134 #
Motion for a resolution
Paragraph 6
Paragraph 6
6. Notes the ‘quick fix’ to the Capital Requirements Regulation31 extending transitional arrangements in order to support banks’ lending capacity32 ; believes that a 2 year freeze of the calendar of minimum loss coverage requirements set in the CRR and of supervisory expectation should be examined, considering that in many countries civil courts have been closed or their activity significantly reduced and collateral enforcement procedures have been postponed or delayed; underlines that such regulation could introduce a perverse incentive for banks towards starting judicial procedures for credit recovery and collateral enforcement also for those borrowers who experience temporary difficulties in payments; encourages the application of forbearance measures to firms and households, and calls for the removal of all regulatory obstacles to their application; _________________ 31Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012 (OJ L 176, 27.6.2013, p. 1). 32Regulation (EU) 2020/873 of the European Parliament and of the Council of 24 June 2020 amending Regulations (EU) No 575/2013 and (EU) 2019/876 as regards certain adjustments in response to the COVID-19 pandemic (OJ L 204, 26.6.2020, p. 4).
Amendment 146 #
8. Calls for a well-orchestrated, gradual shift from pandemic relief to recovery support tools, taking into consideration at every step the current conditions;
Amendment 162 #
Motion for a resolution
Paragraph 9
Paragraph 9
9. Notes the accelerated pace of digitalisation in the banking sector, while pointing to the insufficient level of investment and regulation in this area;
Amendment 166 #
Motion for a resolution
Paragraph 9 a (new)
Paragraph 9 a (new)
9 a. Welcomes the Commission’s Proposal for a Corporate Sustainability Reporting Directive (CSRD); calls on the Commission to deploy further efforts to better align financial market activity with sustainability objectives and environmental, social and governance criteria, including the development of sustainability ratings based on ESG criteria;
Amendment 177 #
Motion for a resolution
Paragraph 11
Paragraph 11
11. Notes the postponement of the implementation of the Basel III reforms and awaits the Commission’s upcoming proposal on the implementation of the finalised standards, taking into account, where appropriate, the specificities of the EU banking sector and the necessity to introduce measures aimed at increasing banks’ lending to the real economy;
Amendment 185 #
Motion for a resolution
Paragraph 12
Paragraph 12
12. Notes the interdependencies between banks and central counterparties (CCPs) and increasingly with crypto- assets and digital finance;
Amendment 188 #
Motion for a resolution
Paragraph 12 a (new)
Paragraph 12 a (new)
12 a. Calls on the Commission to consider to what extent the growing importance of non-bank financial intermediation and its interconnection with the banking sector require additional macroprudential tools, namely the development of ex ante liquidity management tools and careful analysis of existing leverage measures; highlights that the recent pandemic shock illustrated that the non-bank sector can amplify market volatility and price dislocation, particularly when market liquidity comes under pressure;
Amendment 198 #
Motion for a resolution
Paragraph 13 a (new)
Paragraph 13 a (new)
13 a. Calls on the Commission to review the eligibility criteria with the objective of attracting a higher number of applications from women;
Amendment 210 #
Motion for a resolution
Paragraph 16
Paragraph 16
16. Notes that sound management of credit risk should remain one of the key priorityies for the SSM;
Amendment 218 #
Motion for a resolution
Paragraph 17
Paragraph 17
17. Stresses that ensuring proper and timely management of deteriorated exposures will be key to preventing a build-up of non-performing loans (NPLs) in the short term; calls on supervisors to continue to adequately consider the side effects that massive disposals of NPLs can have on prudential balance sheets of banks that use internal models;
Amendment 230 #
Motion for a resolution
Paragraph 18
Paragraph 18
18. Stresses that banks should diligently assess the financial soundness and viability of businesses, proactively engage with distressed debtors to manage their exposures, and offer financing and restructuring options to viable companies and sectors whose prospects of recovery post pandemic, analysed on a case-by- case basis, remain high; stresses that the prudential framework should be consistently amended to allow and encourage such options;
Amendment 234 #
18 a. Underlines the need to protect borrowers' rights in the context of NPL transactions and calls on Member States to put measures in place to ensure that borrowers, who might be in already vulnerable financial situations, are not subject to aggressive and unfair treatment and practices by poorly-regulated debt buyers and collectors; calls on the Commission, in the upcoming revision of the Consumer Credit Directive, to laydown more ambitious provisions on the protection of borrowers against abusive practices, ensuring that those rights apply equally to existing and future loans;
Amendment 236 #
18 b. Underlines the importance of protecting consumer rights, namely regarding unfair terms and practices, banking fees, the transparency of products costs, profitability and risks; notes that the Banking Union still lacks effective tools to tackle problems consumers are facing such as unfair commercial practices and artificial complexity; calls, in this respect, on the European Banking Authority to devote more focus in fulfilling its mandate on properly collecting, analysing and reporting on consumer trends, and also on the review and coordination of financial literacy and education initiatives by the competent authorities; calls further on the Commission to scrutinise the unfair clauses and practices employed by the banking sector, in consumer contracts and to ensure the effective and swift implementation by all Member States of the Directive 93/13/EEC on unfair terms by using all means in place;
Amendment 251 #
Motion for a resolution
Paragraph 20
Paragraph 20
20. Stresses the benefits of banking consolidation in addressing the overcapacities and fragmentation of the banking sector, taking into account each MS specificities; remains concerned, nonetheless with the existence of “too-big- to-fail” institutions; stresses furthermore the benefits of protecting diversity/plurality of financial sectors in building up systemic trust and maintaining the financial stability;
Amendment 252 #
Motion for a resolution
Paragraph 20 a (new)
Paragraph 20 a (new)
20 a. Stresses the importance of supervisory guidance recommending conservative policies on dividends and share buy-backs for financial institutions, attending to the need to maintain sufficient capitalisation;
Amendment 261 #
Motion for a resolution
Paragraph 22
Paragraph 22
22. Is concerned that as Member States sell increasing amounts of sovereign bonds, their share in banks’ balance sheets grows, potentially aggravating the doom loop; considerstresses that the creation of Next Generation EU willcan provide high-qualita truly European safe assets;
Amendment 267 #
Motion for a resolution
Paragraph 22 a (new)
Paragraph 22 a (new)
22 a. Takes the view that these high quality European Safe Assets will diversify the pool of safe assets available in the EU, providing an opportunity for banks to reduce the exposure of their balance sheets to national sovereign debt and contributing to strengthen the international role of the euro;
Amendment 275 #
Motion for a resolution
Paragraph 24
Paragraph 24
24. NotWelcomes the efforts of the SSM to provide guidance and clarity to banks for self-assessing and appropriately reporting environmental and climate change-related risks; stresses that further supervisory pressure is required for financial institutions to disclose appropriately climate-related and environmental risks; considers the SSM climate risk stress test an important step in evaluating banks’ practices and identifying concrete areas of improvement;
Amendment 285 #
Motion for a resolution
Paragraph 25
Paragraph 25
25. Notes the EBA’s role in leading, coordinating and monitoring the EU financial sector’s fight against money laundering and terrorist financing; welcomes the ECB’s efforts over the past two years to enhance exchange of information between the SSM and AML/CFT supervisors to better take into account AML aspects in prudential supervision measures;
Amendment 307 #
Motion for a resolution
Paragraph 29
Paragraph 29
29. Welcomes the fact that while the SRB was not required to take resolution action in 2020, it nevertheless collaborated with the SSM regarding close-to-crisis cases; appreciates the advancement of the current resolution planning cycle, and reiterates that MRELproportionate MREL setting represents one of the key elements in enhancing banks’ resolvability while ensuring broader financial stability;
Amendment 318 #
Motion for a resolution
Paragraph 30
Paragraph 30
30. Considers it necessary to have in place an EU liquidationcomprehensive regime for banks for which the SRB assesses that there is no public interest in resolution;
Amendment 321 #
Motion for a resolution
Paragraph 30 a (new)
Paragraph 30 a (new)
30 a. Stresses that the “sale of business” strategy should be prioritised by the SRB as a way to minimise value losses in resolution and liquidation; considers therefore that access to the SRF and the national deposit guarantee schemes (NDGSs) should be facilitated, as a way to minimise tax payer contributions and destruction of value, and ensure financial stability;
Amendment 335 #
Motion for a resolution
Paragraph 33
Paragraph 33
33. Considers it necessary to review the public interest assessment in order to allow resolution tools to be applied to a broader group of banks, namely for middle-sized banks;
Amendment 350 #
Motion for a resolution
Paragraph 35
Paragraph 35
35. NotStresses the importance of depositors across the Banking Union enjoying the same level of protection of their savings; takes note of the Commission proposal to further strengthen citizens’ confidence in the protection of deposits by introducing an EDIS;
Amendment 371 #
Motion for a resolution
Paragraph 36
Paragraph 36
36. Notes the Commission’s launch of the review of the CMDI framework, including the option of a hybrid EDIS;
Amendment 376 #
Motion for a resolution
Paragraph 36 a (new)
Paragraph 36 a (new)
36 a. Calls for further steps towards a time-bound work plan on all outstanding elements needed to complete swiftly the Banking Union and deliver a fully-fledged EDIS;