Easing rules to encourage banks to lend to companies and households
MEPs are set to approve more flexibility in EU banks’ prudential rulebook to focus on lending to the COVID-19-stricken economy.
Plenary will vote on Friday on new rules to temporarily ensure favourable conditions for banks in order to support credit flows to companies and households and absorb losses, mitigating the severe economic consequences of the COVID-19 pandemic and the enforced confinement.
With a view to striking a balance between a robust and stable banking system and securing much-needed credit for the EU economy, MEPs agreed to apply specific changes to the capital requirements regulation (CRR). Banks will have to monitor the effects of the pandemic on their balance sheets, pay close attention to non-performing loans and apply know-your-customer standards.
Procedure: Ordinary Legislative Procedure
Vote: Friday, 19 June