AI Summary of Article 458 Macroprudential or systemic risk identified at the level of a Member State
This Article outlines the framework for Member States to designate a competent authority responsible for macroprudential measures. If significant systemic risks are identified that cannot be effectively managed by existing tools, the authority must notify the Commission and the ESRB, providing relevant documentation and evidence regarding the risks and proposed national measures to mitigate them.
The Council retains the ability to reject such measures within one month of notification, guided by evidence and opinions from the ESRB and EBA, while allowing Member States the right to implement these measures if no proposal is made against them. The process also facilitates recognition of such measures by other states, ensuring coherence in addressing systemic risks across the Union.
Article 458 Macroprudential or systemic risk identified at the level of a Member State
1. Member States shall designate the authority in charge of the application of this Article. This authority shall be the competent authority or the designated authority.
2. Where the authority designated in accordance with paragraph 1 of this Article identifies changes in the intensity of macroprudential or systemic risk in the financial system with the potential to have serious negative consequences to the financial system and the real economy in a specific Member State and which that authority considers that cannot be addressed by means of other macroprudential tools set out in this Regulation and in Directive 2013/36/EU as effectively as by implementing stricter national measures, it shall notify the Commission and the ESRB accordingly. The ESRB shall forward the notification to the European Parliament, to the Council and to EBA without delay.
The notification shall be accompanied by the following documents and include, where appropriate, relevant quantitative or qualitative evidence on:
(a) the changes in the intensity of macroprudential or systemic risk;
(b) the reasons why such changes could pose a threat to financial stability at national level or to the real economy;