EBA provides clarifications on the application of the prudential framework in the context of COVID-19 

The European Banking Authority (EBA) published on July 7 a Report, which provides clarifications on the application of the prudential framework that have been raised as a consequence of the COVID-19 pandemics.  

The published Report provides clarity on the implementation of the Guidelines by addressing a number of interpretative questions and presents an overview of the general payment moratoria in place in the EU based on notifications sent to the EBA. In addition, the Report also includes considerations on the COVID-19 issues, which can arise in applying the operational risk framework.  

This article provides further insight on the COVID-19 operational risk classification schema.