Press Release: European Commission specifies criteria for banks to hold easily ‘bail-inable’ instruments in case of resolution

The European Commission took an important step on 23 May 2016 towards ensuring the effectiveness of so-called 'bail-in' rules for banks and, more broadly, clarifying the overall EU resolution framework.

The proposed Delegated Regulation specified the criteria that authorities responsible for resolving banks need to consider when setting the minimum requirements for own funds and eligible liabilities (MREL) – or easily 'bail-inable' instruments - for the purpose of loss absorption and recapitalisation of banks. The Delegated Regulation further clarified a key provision of the Bank Recovery and Resolution Directive (BRRD) and support the overall objective of having a robust MREL.

ESO: Background information: Press Release: EBA publishes final technical standards to ensure effective resolution under the BRRD http://www.europeansources.info/record/press-release-eba-publishes-final-technical-standards-to-ensure-effective-resolution-under-the-brrd/

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