Daniele Nouy has spoken on the first year of European banking supervision and what lies ahead. She reported unprecedented progress and cooperation, and said not only the supervision, but also necessary follow up, had been impressive. Banks have accepted ECB as a supervisor under the SSM. For the future, there will be many important changes to laws, including the Bank Recovery and Resolution Directive taking effect, the TLAC requirements and changes to accounting standards. ECB will work on this as well as focusing on greater supervisory harmonisation of national options under the fourth Capital Requirements Directive (CRD 4). The board of ECB will also continue work on its supervisory priorities of:

  • business models and profitability drivers;
  • governance and risk appetite;
  • capital adequacy;
  • credit risk; and
  • cyber risk and data integrity.

(Source: ECB Speaks on Banking Supervision)