[ParlTrack]

Joachim SCHUSTER, Csaba MOLNÁR, Niels FUGLSANG, René REPASI

Proposal for a regulation
Recital 11

(11) Most EU corporates, however, do not seek external credit ratings, in particular due to cost considerations. To avoid disruptive impacts on bank lending to unrated corporates and to provide enough time to establish public or private initiatives aimed at increasing the coverage of external credit ratings, it is necessary to provide for a transitional period for such increase in the coverage. During that transitional period, institutions using IRB approaches should be able to apply a favourable treatment when calculating their output floor for investment grade exposures to unrated corporates~~, whilst initiatives to foster widespread use of credit ratings should be established. Tha~~. In order to enhance competition in the market for credit tra~~nsitional arrangement should be coupled with a report prepared by the European Banking Authority (‘EBA’). After the transition period, institut~~ting agencies and support the development of an European market, the Commissions should be able to refer to credit assessments by ECAIs to calculate the capital requirements for most of their corporate exposures. To inform any future initiative on the set-up of public or private rating schemes, the European Supervisory Authorities (ESAs) should be requested to prepare a report on the impediments to the availability of external credit ratings by ECAIs, in particular for corporates, and on possible measures to address those impedimentfoster the availability of credit assessments by nominated ECAIs and assess how public and or private initiatives could be expanded and how oligopolies in the CRA market could be addressed, and where appropriate, submit to European Parliament and to the Council additional legislative proposals. The Commission should also assess the possibility of the creation of a European public credit rating agency as an impartial and trusted alternative to existing agencies. After the transition period, institutions should be able to refer to credit assessments by ECAIs to calculate the capital requirements for most of their corporate exposures. In the meanwhile, the European Commission stands ready to provide technical support to Member States via its Technical Support Instrument in this area, e.g. to formulate strategies on increasing the rating-penetration of their unlisted corporates or to explore best practices on setting up entities capable of providing ratings or providing related guidance to corporates.

2022/08/11
Committee: ECON

Joachim SCHUSTER, Csaba MOLNÁR

Proposal for a regulation
Article 1 – paragraph 1 – point 63 – point a

Regulation (EU) No 575/2013
Article 150 – paragraph 1 – subparagraph 2

~~An institution that is permitted to us~~Competent authorities may allow an institution to apply the Standardised Approach for the following exposures where the IRB Approach is applied for othe calculation of risk- weighted exposure amounts and expected loss amounts for a given exposure class may, subject to the competent authority’s prior permission, apply the Standardised Approach for some types of exposures within that exposure class where those types of exposures are immaterial in terms of size and perceived risk profile. r types of exposures within those exposure classes: (a) exposures to central governments and central banks of the Member States and its regionalgovernments, local authorities, administrative bodies and public sector entities if the exposures to the central government and central bank are assigned a 0% risk weight under Article 114(2) or (4) and if there is no difference in risk between the exposures to that central government and central bank and those other exposures in the Member State; (b) exposures of an institution to a counterparty which is its parent undertaking, its subsidiary or a subsidiary of its parent undertaking provided that the counterparty is an institution or a financial holding company, mixed financial holding company, financial institution, asset management company or ancillary services undertaking subject to appropriate prudential requirements or an undertaking linked by a relationship within the meaning of Article 12(1) of Directive 83/349/EEC; (c) exposures between institutions subject to Article 113(7).

2022/08/18
Committee: ECON

Joachim SCHUSTER, René REPASI

Proposal for a regulation
Article 1 – paragraph 1 – point 180 a (new)

Regulation (EU) No 575/2013
Article 433b – paragraph 2

2. (180 a)in Article 433b, paragraph 2 is replaced by the following: "By way of derogation from paragraph 1 of this Article, small and non-complex institutions that are non-listed institutions shall only be required to disclose the key metrics referred to in ~~Article 447 on an annual basis. (https://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX:02013R0575-~~paragraph 2 of Article 447. Small and non-complex institutions that are non-listed institutions shall disclose the key metrics referred to in paragraph 2 of Article 447 on an annual basis. " Or. en 20220410&from=EN)

2022/08/18
Committee: ECON

Joachim SCHUSTER, René REPASI

Proposal for a regulation
Article 1 – paragraph 1 – point 182

Regulation (EU) No 575/2013
Article 434 – paragraph 3

3. EBA shall publish on its website the disclosures of small and non-complex institutions on the basis of the information reported by those institutions to competent authorities in accordance with Article 430. and paragraph 2 of Article 447.

2022/08/18
Committee: ECON

Joachim SCHUSTER, René REPASI

Proposal for a regulation
Article 1 – paragraph 1 – point 188 – point d a (new)

Regulation (EU) No 575/2013
Article 447 – paragraph1 a (new)

x (da) the following paragraph is added: "(1a) Small and non-complex institutions that are non-listed institutions shall only disclose the following key metrics in a tabular format: (a) the composition of their own funds and their risk-based capital ratios as calculated in accordance with Article 92(2); (b) the total risk exposure amounts as calculated in accordance with Article 92(3) and, where applicable; (c) where applicable, the amount and composition of additional own funds which the institutions are required to hold in accordance with point (a) of Article104(1) of Directive 2013/36/EU; (d) the combined buffer requirement which the institutions are required to hold in accordance with Chapter 4 of Title VII of Directive 2013/36/EU; (e) their leverage ratio as calculated in accordance with Article 429; (f) the average or averages, as applicable, of their liquidity coverage ratio based on end-of-the-month observations over the preceding 12 months for each quarter of the relevant disclosure period as calculated in accordance with the delegated act referred to in Article 460(1); (g) the net stable funding ratio at the end of each quarter of the relevant disclosure period as calculated in accordance with Title IV of Part Six. " Or. en (https://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX:02013R0575- 20220410&from=EN)

2022/08/18
Committee: ECON

Joachim SCHUSTER, Csaba MOLNÁR, Niels FUGLSANG, René REPASI

Proposal for a regulation
Article 1 – paragraph 1 – point 196

Regulation (EU) No 575/2013
Article 465 – paragraph 3 – subparagraph 3

~~On the basis of that report and taking due account of the rel~~The Commission shall assess whether the availability of credit assessments by nominated ECAIs could be expanded by public and or privated in~~ternationally agreed standards developed by the BCBS, the Commission~~itiatives and how to address dominance in the market and shall, where appropriate, submit to ~~the~~ European Parliament and to the Council a legislative proposal ~~by 31 December 2031~~s. The Commission shall also assess the possibility of the creation of a European public credit rating agency.

2022/08/18
Committee: ECON

6 Amendments of Joachim SCHUSTER related to 2021/0342(COD)

ParlTrack - 2011-2024