01 June 2004

FSAP tenth Progress Report

The European Commission published its 10th FSAP progress report stating that nearly all of the legislative measures (93%) in the Financial Services Action Plan have been completed. However, its success will depend on the correct and timely implementation and enforcement of all FSAP measures at Member State level, convergence of national supervisory practices and rigorous enforcement.

The report also states that the Commission does’t plan to come foreword with new initiatives beyond those already announced, which include:

Directive on Capital Adequacy

Insurance Solvency II,

Directive on Reinsurance Supervision,

Clearing and Settlement,

Legal Framework for Payments,

8th Company Law Directive on Statutory Audit, and

a Third Money Laundering Directive

Nevertheless, where necessary, targeted legislative action in response to specific market failures or regulatory gaps may be an appropriate response and should not be a priori ruled out.

With respect to the Corporate Governance Action Plan the forthcoming initiatives for the second half of 2004 include:

a Recommendation on Directors' Remuneration,

a Recommendation to promote the role of independent non-executive or supervisory directors,

a confirmation at EU level of the collective responsibility of directors for financial statements

full disclosure of the use of structures like special purpose vehicles and off-shore centres, and

the introduction of an Annual Corporate Governance Statement for listed companies.

Commission press release
10th Progress Report
Report annexes

© European Commission