SRB sets expectations for banks with respect to liquidity and funding in resolution. First compliance deadline: 2021
10 May 2021
As part of its role as the central resolution authority within the Banking Union, the Single Resolution Board (SRB) has set its expectations for banks in the resolution planning phase, to demonstrate that they are resolvable and prepared for crisis management. Banks are expected to build their capabilities by 2023, based however, on a phased-in process, which implies that some aspects related to liquidity and funding are required and will be assessed during the 2021 resolution cycle.
In this alert you will read more on how banks shall identify the key liquidity entities (KLE) and main liquidity flows in resolution and also about the identification of the key drivers of the liquidity position.