Securitisation and Regulation News

EBA Advises European Commission on the Use of Prudential Backstops to Prevent the Building up of New NPLs

The European Banking Authority has published its advice on the European Commission's proposal for statutory prudential backstops on banks' provisioning practices for new loans that turn non-performing. The EBA notes that the backstop complements the existing prudential set of measures and the new accounting provisions under IFRS9 and the advice aims at providing some qualitative considerations as well as a conservative impact analysis of the proposed measures

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