Public hearing with Andrea Enria, Chair of the ECB Supervisory Board - ECON on 4 September 2019

30-08-2019

This note is prepared in view of a regular public hearing with the Chair of the Supervisory Board of the European Central Bank (ECB), Andrea Enria, which will take place on 4 September 2019. The briefing addresses (i) the role and tasks of the Single Supervisory Mechanism (SSM), (ii) individual cases that merit particular supervisory attention; (iii) institutional and organisational issues (Extension of the Banking Union to Bulgaria and Croatia, and memorandum of understanding between the European Court of Auditor (ECA) and the ECB); (iv) the risk assessment of Banking Union banks with a particular focus on leveraged loans, NPL, profitability and sovereign exposures (v) supervisory issues and policies (finalisation of Basel 3 and review of internal models, SSM Supervisory Review and Evaluation Process and transparency of stress tests further to the recently published report from the ECAs: (vi) policy developments and supervisory issues raised on the AML front; (vii) Brexit. On a more prospective note, this briefing also presents (viii) an external paper on "Lessons from the United States for banking resolution in the Banking Union" which advocates harmonisation and centralisation of bank insolvency proceedings in the Banking Union.

This note is prepared in view of a regular public hearing with the Chair of the Supervisory Board of the European Central Bank (ECB), Andrea Enria, which will take place on 4 September 2019. The briefing addresses (i) the role and tasks of the Single Supervisory Mechanism (SSM), (ii) individual cases that merit particular supervisory attention; (iii) institutional and organisational issues (Extension of the Banking Union to Bulgaria and Croatia, and memorandum of understanding between the European Court of Auditor (ECA) and the ECB); (iv) the risk assessment of Banking Union banks with a particular focus on leveraged loans, NPL, profitability and sovereign exposures (v) supervisory issues and policies (finalisation of Basel 3 and review of internal models, SSM Supervisory Review and Evaluation Process and transparency of stress tests further to the recently published report from the ECAs: (vi) policy developments and supervisory issues raised on the AML front; (vii) Brexit. On a more prospective note, this briefing also presents (viii) an external paper on "Lessons from the United States for banking resolution in the Banking Union" which advocates harmonisation and centralisation of bank insolvency proceedings in the Banking Union.