This Regulation establishes new implementing technical standards for public disclosures by financial institutions regarding prudential requirements, risk management, and other key metrics. It implements changes introduced by Basel III standards into EU legislation.The Regulation replaces the previous Implementing Regulation (EU) 2021/637 and introduces comprehensive disclosure requirements in areas like capital adequacy, liquidity, credit risk, market risk, operational risk, and ESG risks. It will apply from January 1, 2025.The main structure includes 28 articles covering different disclosure aspects and detailed annexes with specific templates and formats for disclosures. Key changes include new requirements for output floor disclosures, more granular risk weight treatments, revised market risk framework based on FRTB, and new approaches for operational risk.
Key provisions:
- Detailed requirements for disclosure of key metrics, risk management, own funds, and capital buffers
- New frameworks for market risk and operational risk disclosures
- Enhanced ESG risk disclosure requirements
- Specific provisions for crypto-asset exposures
- Standardized IT solutions and formats to be developed by EBA
- Frequency requirements for quarterly, semi-annual and annual disclosures
The Regulation aims to ensure uniform and comparable disclosures across EU institutions while maintaining consistency with international standards. It provides detailed technical specifications for the content, format and frequency of required disclosures.
