Brussels, 21/06/2016 (Agence Europe) - The first exchange of views on the draft report by MEP Paul Tang (S&D, Netherlands) on a proposed regulation of the Commission aiming to revitalise the European securitisation market showed a division between the political groups over the issue of risk retention.
Tang's draft report increases the risk retention requirement from 5% to 20%, as recommended by the NGO Finance Watch. The shadow rapporteurs of the GUE/NGL and Greens/EFA groups welcomed this initiative by the rapporteur. The EPP group's shadow rapporteur, Austrian's Othmar Karas, said that this was one of the issues which would certainly require more discussion. The ECR and ALDE groups were more direct. British MEP Syed Kamall, who was speaking on behalf of his Danish colleague Morten Messerschmidt (ECR), said that increasing the figure to 20% would create distortions with regard to international criteria. Petr Jezek (ADLE, Czech Republic) said that it “would not work”.
The latter two speakers also stressed their concerns that the Tang report would close the door to third-country issuers. They also expressed concerns regarding the additional transparency requirements. The rapporteur is proposing the creation of a European securitisation data repository. Karas stressed the need to strike the right balance. (Original version in French by Élodie Lamer)