Bulletin: Single Resolution Board Says That Banks Must Go The Distance To Ensure Full Resolvability

LONDON (S&P Global Ratings) July 13, 2022--The Single Resolution Board (SRB) today published the high-level findings from its end-2021 resolvability assessment for the 120 systemically important Banking Union banks under its direct remit. The SRB assessment follows similar assessments published by FINMA, the Swiss regulator, annually since 2020, and by the Bank of England (BOE), for the first time in June 2022. The FINMA and BOE publications gave us greater insight because they provided specific comments on the progress of named individual banks. That said, the scope of these reports was far narrower: FINMA covered five banks and BOE covered eight. The SRB plans to publish its assessment annually, and it's possible that the granularity of its disclosure may improve,

...July 13, 2022 LONDON (S&P Global Ratings) July 13, 2022--The Single Resolution Board (SRB) today published the high-level findings from its end-2021 resolvability assessment for the 120 systemically important Banking Union banks under its direct remit. The SRB assessment follows similar assessments published by FINMA, the Swiss regulator, annually since 2020, and by the Bank of England (BOE), for the first time in June 2022. The FINMA and BOE publications gave us greater insight because they provided specific comments on the progress of named individual banks. That said, the scope of these reports was far narrower: FINMA covered five banks and BOE covered eight. The SRB plans to publish its assessment annually, and it's possible that the granularity of its disclosure may improve, in time. In many respects, the SRB's observations chime with those of FINMA and the BOE. - It takes years to ensure that major banks are truly resolvable--that is, to be sure that if they fail there is a strong...

Bulletin