EBA欧洲银行-FBF_CP09_3页_283kb

FBF Summary on Guidelines for Cooperation Between Consolidating and Host Supervisors (CP09)

Core Content

The French Banking Federation (FBF) has responded to the CEBS consultation document on guidelines for cooperation between consolidating supervisors and host supervisors. The response outlines the FBF’s general and specific views on the proposed framework, emphasizing the need for clarity, efficiency, and consistency in supervisory practices across the European banking sector.

Main Views and Key Points

General Remarks

• Support for Convergence: FBF supports CEBS's objective of promoting convergence and closer coordination among supervisors.
• First Step in an Ongoing Process: The proposal is viewed as the initial phase in a five-year review of the implementation level of the Capital Requirements Directive (CRD).
• Efficiency Concerns: The FBF highlights that the current proposal is limited in efficiency due to unresolved issues such as:
  • The lender of last resort function
  • Crisis management provisions
  • Liquidity treatment
  • Deposit insurance schemes (at a lower level)

Role Differentiation

• Role of Host Supervisors: FBF argues that host supervisors should direct their information requests about the entire group to the consolidating supervisor, and only engage with subsidiaries or branches on matters specific to their local market.
• Supervisory Disclosure: The FBF emphasizes the importance of supervisory disclosure in this context and calls for CEBS to play a crucial role in defining it.

Qualification Certificate

• Proposal for a Qualification Certificate: FBF suggests establishing a qualification certificate between the consolidating supervisor and other supervisors to clearly define the relationships and responsibilities.
• Global vs. Local Supervision: This certificate would formalize the role of the consolidating supervisor, who has a global view of the group, and differentiate it from the local host supervisors, who have less stringent requirements.

Specific Remarks

• Unaddressed Changes: FBF asks whether there are any changes not mentioned in the consultation that could significantly impact the European financial sector, particularly cross-border banking groups.
• Avoiding Regulatory Disadvantages: The FBF is concerned that the proposed cooperation may create regulatory complexity that could disadvantage banks in other jurisdictions.
• Integration of CRD Review: FBF urges CEBS to integrate the review of CRD application levels into the framework, as outlined in the 2010 forecast.

Supervisory Roles and Risks

• Lack of Differentiation: FBF believes that the current proposal does not sufficiently differentiate between the roles of consolidating and local supervisors.
• Risk of Duplication: The FBF raises concerns about the potential for duplication of tasks and information under the proposed framework.
• Uncertainties in Implementation: The lack of clarity on key concepts such as materiality, significance, and systemic relevance, as well as the interpretation of information exchange and national discretions, could lead to inefficiencies and burdens on both the industry and supervisors.

Conclusion

The FBF calls for a more structured and differentiated approach to the supervision of cross-border banking groups, emphasizing the need for a qualification certificate and a clearer delineation of roles and responsibilities. They also stress the importance of avoiding unnecessary regulatory complexity and ensuring that the framework is both practical and proportionate to risk.