Review of the New European System of Financial Supervision (ESFS), Part 1: The Work of the European Supervisory Authorities (EBA, EIOPA and ESMA) – The ESFS’s Micro-Prudential Pillar / Part 2: The work of the European Systemic Risk Board – The ESFS’S Macro-Prudential Pillar

Responding to the challenges of the financial crisis, the European Union (EU) adopted a new financial supervisory framework: the European System of Financial Supervision (ESFS) in 2010. Its new European Supervisory Authorities (ESAs) were established in the beginning of 2011 and are due be reviewed by the European Commission by January 2014.

This report reviews and assesses for the European Parliament the performance of the ESAs. It reasons that the ESAs have been established successfully but need a stronger foundation, in particular enhanced governance when taking decisions on supervisory consistency across the EU.

A key conclusion is that the benefits of legal and regulatory harmonisation (Single Rulebook) will be lost without consistent implementation and application. Finally, the report contains recommendations to improve the ESAs’ effectiveness and efficiency.

European Parliament: DG Internal Policies: Studies: Review of the New European System of Financial Supervision (ESFS), Part 2: The work of the European Systemic Risk Board – The ESFS'S Macro-Prudential Pillar http://www.europarl.europa.eu/RegData/etudes/etudes/join/2013/507490/IPOL-ECON_ET(2013)507490_EN.pdf

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