These delegated acts will help promote high quality securitisation, ensure that banks have sufficient liquid assets in testing circumstances and introduce international comparability to leverage ratios.
They will enable the financial sector to support the wider economy without jeopardising financial stability. EU Commissioner Jonathan Hill, responsible for Financial Stability, Financial Services and Capital Markets Union, said: "It is good news for investment in Europe that these new rules have been agreed. They strengthen the resilience of the financial sector but also support efforts to boost jobs, growth and investment. They recognise the diversity of our financial sector as well as the importance of certain financial instruments, especially high quality securitisation. By encouraging safe and transparent securitisation, they will make it more attractive for long-term investments. These first steps on the treatment of high quality securitisations will also be developed further as part of our work to stimulate growth through the development of a Capital Markets Union.”
These rules on high quality securitisation will also support other growth-friendly initiatives, including the EU's Investment Plan and the Capital Markets Union. The Solvency II rules will apply from 1 January 2016 and the detailed liquidity coverage requirement from 1 October 2015.
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