AI Summary of Recitals
The Regulation adopted by the European Parliament and Council establishes a comprehensive framework for banking and investment firm operations within the EU, aimed at enhancing financial stability and transparency. It merges prior directives to create a clearer, coherent legal structure while allowing for national variations to ensure compliance with internal market principles.
Key provisions address capital requirements, liquidity buffers, and leverage ratios, alongside supervisory powers granted to both national authorities and the European Banking Authority. This Regulation also emphasises macroprudential oversight, enabling Member States to enact specific measures to mitigate systemic risks, thereby fostering a stable financial environment.
Recitals
THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty on the Functioning of the European Union, and in particular Article 114 thereof,
Having regard to the proposal from the European Commission,
After transmission of the draft legislative act to the national parliaments,
Having regard to the opinion of the European Central Bank [OJ C 105, 11.4.2012, p. 1.],
Having regard to the opinion of the European Economic and Social Committee [OJ C 68, 6.3.2012, p. 39.],
Acting in accordance with the ordinary legislative procedure,
Whereas:
(1) The G-20 Declaration of 2 April 2009 on Strengthening of the Financial System called for internationally consistent efforts that are aimed at strengthening transparency, accountability and regulation by improving the quantity and quality of capital in the banking system once the economic recovery is assured. That declaration also called for introduction of a supplementary non-risk based measure to contain the build-up of leverage in the banking system, and the development of a framework for stronger liquidity buffers. In response to the mandate given by the G-20, in September 2009 the Group of Central Bank Governors and Heads of Supervision (GHOS), agreed on a number of measures to strengthen the regulation of the banking sector. Those measures were endorsed by the G-20 leaders at their Pittsburgh Summit of 24-25 September 2009 and were set out in detail in December 2009. In July and September 2010, GHOS issued two further announcements on design and calibration of those new measures, and in December 2010, the Basel Committee on Banking Supervision (BCBS) published the final measures, that are referred to as the Basel III framework.