European Central Bank (ECB) consults on its new draft Guide on governance and risk culture

On 24th of July, ECB has launched a public consultation until 16th of October on its new draft Guide on governance and risk culture. The Guide reflects the ECB’s focus on diverse and effective management bodies, which is a supervisory priority of the Single Supervisory Mechanism (SSM) and sets out supervisory expectations regarding the governance and risk culture of supervised banks. It replaces the 2016 SSM supervisory statement on governance and risk appetite and provides banks with a roadmap to a more effective internal governance and risk culture.

In this alert, you will read more about key takeaways from the ECB new draft Guide.