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Image header Agence Europe
Europe Daily Bulletin No. 11346
ECONOMY - FINANCE / (ae) banks

Securitisation - EBA recommendation announced early July

Brussels, 29/06/2015 (Agence Europe) - In early July, the European Banking Authority (EBA) will present recommendations to the European Commission on criteria for the categorisation of simple, low-risk and transparent securitised financial products.

The creation of this category of financial products will allow European banks to be subject to appropriate own-funds requirements for this type of securitised product considered less risky. The financial institutions may also transfer some of the credit granted to economic operators from their balance sheet, converting them into packages of bonds, whereby these new products would find buyers on the capital markets more easily.

Revitalising the securitisation markets is a key project of the Capital Markets Union, which aims to make businesses less dependent on bank funding in Europe financing. (Mathieu Bion)

 

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