Insight EU Finance Monitoring Weekly 20 – 25 January 2025

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EU ECOFIN COUNCIL

• Main results of the EU Economic and Financial Affairs Council, 21 January 2025
• Background on the EU Economic and Financial Affairs Council on 21 January 2025
• Recovery and resilience fund: Council greenlights the amended plans of Greece, Cyprus and Spain
• Economic governance framework: Council sets fiscal expenditure paths for 21 member states
• Stability and growth pact: Council adopts recommendations to countries under excessive deficit procedure

EUROGROUP

• Main results of the Eurogroup, 20 January 2025
• Remarks by Paschal Donohoe following the Eurogroup meeting of 20 January 2025
• Remarks by EU Commissioner Dombrovskis at the Eurogroup press conference

ECB

• ECB Governing Council Press Conference – 30 January 2025
• Further ECB documents
• Consolidated financial statement of the Eurosystem as at 17 January 2025
• Results of the December 2024 Survey on credit terms and conditions in euro-denominated securities financing and OTC derivatives markets (SESFOD)

ECB BANKING SUPERVISION

• Interview with Patrick Montagner, Member of the Supervisory Board of the ECB, conducted by Eric Cloutier, Group Head of Banking Regulations at Forvis Mazars
• Further documents of the ECB Banking Supervision
• List of banks not included in the EBA sample that take part in the parallel ECB stress test
• ECB sanctions BNP Paribas Fortis SA/NV for misreporting capital requirements
• ECB publishes supervisory banking statistics on significant institutions for the third quarter of 2024
• ECB appoints Karin Turner-Hrdlicka as Director General On-site and Internal Model Inspections

EU STRESS TEST 2025

• ECB to stress test 96 euro area banks in 2025
• European Banking Authority launches its 2025 EU-wide stress test
• ECB Banking Supervision Blog: Why prudent projections are the backbone of sound stress testing

SINGLE RESOLUTION BOARD

• SRB updates its operational guidance on OCIR

ESM

• ESM and EIB sign Memorandum of Understanding

ETF

• EFAMA: Record net sales of Equity ETFs in November

DORA

• ENISA: EU financial entities cybersecurity upgrade: DORA is now alive and kickingBreadcrumb

EIOPA

• Keynote speech by Petra Hielkema delivered at the Conference on “Corporate Governance, Sustainability & Diversity: Moving Forward”

ESMA

• Join us for ESMA’s conference “Shaping the future of EU capital markets” on 5 February 2025
• Start of DPE regime on 3 February and end of publication of Systematic Internalisers data
• New governance structure for transition to T+1 settlement cycle kicks off
• EFAMA: Chair of the European T+1 Industry Committee welcomes the official launch of the governance structure for the transition to T+1 Settlement Cycle
• Ongoing ESMA Consultations
• Consultation on the Conditions of the Active Account Requirement under EMIR 3
• Consultation on the technical Advice to the European Commission on the amendments to the research
• Consultation on the draft technical advice concerning MAR and MiFID II SME GM
• Consultation on the draft regulatory technical standards on open-ended loan-originating AIFs
• EFAMA: Asset managers need corporate sustainability data to guide their sustainable investing and comply with regulatory reporting
• Further ESMA documents
• CSD Register

EBA

• EBA publishes an Opinion on the interaction between the output floor and Pillar 2 requirements
• Ongoing EBA Consultations
• Consultation on Regulatory Technical Standards on CCP to strengthen fight against financial crime – 4 DECEMBER 2024 – 4 FEBRUARY 2025
• Consultation on Technical Standards on structural foreign exchange under CRR – 28 OCTOBER 2024 – 7 FEBRUARY 2025
• Consultation on Guidelines on proportionate retail diversification methods  – 12 NOVEMBER 2024 – 12 FEBRUARY 2025

EU PARLIAMENT REGISTER

• Draft agenda – Tuesday, 28 January 2025 – PE768.023v01-00 – Committee on Economic and Monetary Affairs , Committee on Civil Liberties, Justice and Home Affairs
• Draft agenda – Wednesday, 29 January 2025 – PE768.001v01-00 – Committee on Economic and Monetary Affairs
• Draft agenda – Tuesday, 28 January 2025 – PE767.997v01-00 – Committee on Economic and Monetary Affairs , Committee on Employment and Social Affairs

EU COUNCIL REGISTER

• ST 16760 2024 INIT Council Regulation (EU) 2018/1909 of 4 December 2018 amending Regulation (EU) No 904/2010 as regards the exchange of information for the purpose of monitoring the correct application of call-off stock arrangements
• ST 5640 2025 INIT Proposal for a COUNCIL IMPLEMENTING DECISION amending Implementing Decision (EU) (ST 10161/21 INIT; ST 10161/21 ADD1) of 13 July 2021 on the approval of the assessment of the recovery and resilience plan for Belgium
• ST 5640 2025 ADD 1 ANNEX to the Proposal for a COUNCIL IMPLEMENTING DECISION amending Implementing Decision (EU) (ST 10161/21 INIT; ST 10161/21 ADD 1) of 13 July 2021 on the approval of the assessment of the recovery and resilience plan for Belgium
• ST 5621 2025 INIT COMMISSION REGULATION (EU) …/… of XXX amending Regulation (EU) 2023/1803 as regards International Financial Reporting Standard 9 and International Financial Reporting Standard 7
• ST 5621 2025 ADD 1 Amendments to the Classification and Measurement of Financial Instruments Amendments to IFRS9 and IFRS7
• CM 1343 2025 INIT Code of Conduct Group (Business Taxation)
• WK 34 2025 INIT Presidency questionnaire on improving the current own resources system
• ST 5182 2025 INIT Ensuring a globally competitive business environment in Europe – simplification, decluttering and regulatory burden reduction
• ST 16318 2024 INIT Council Directive 2006/112/EC of 28 November 2006 on the common system of value added tax
• CM 1239 2025 INIT Att.Financial Services and Banking Union (Financial Services) (CMDI)
• ST 5030 2025 REV 1 Council Recommendations endorsing the national medium-term fiscal-structural plans of 21 Member States
• ST 5016 2025 REV 1 COUNCIL RECOMMENDATION endorsing the national medium-term fiscal-structural plan of France
• ST 5042 2025 INIT Recommendation for a COUNCIL RECOMMENDATION endorsing the national medium-term fiscal-structural plan of Hungary
• ST 5183 2025 INIT Amended recommendation for a COUNCIL RECOMMENDATION with a view to bringing an end to the situation of an excessive deficit in Hungary
• ST 5177 2025 INIT COUNCIL OF THE EUROPEAN UNION (Economic and Financial Affairs)
• CM 5485 2024 REV 1 Working Party on Tax Questions (Indirect Taxation – Excise duties/Energy taxation)

EU COMMISSION REGISTER

• Bulgaria – prior guidance letter
• COMMISSION DELEGATED REGULATION (EU) …/… supplementing Regulation (EU) 600/2014 of the European Parliament and of the Council as regards OTC derivatives identifying reference data to be used for the purposes of the transparency requirements laid down in Article 8a(2) and Articles 10 and 21
• COMMUNICATION TO THE COMMISSION on the intention to reject and further adopt with amendments the draft Commission Delegated Regulation supplementing Regulation (EU) 2022/2554 of the European Parliament and of the Council with regard to regulatory technical standards specifying the elements that a financial entity has to determine and assess when subcontracting ICT services supporting critical or important functions
• COMMISSION DECISION on the adoption of the answers to be provided to the questions submitted by the European Supervisory Authorities under Article 16b(5) of Regulation (EU) No 1093/2010, Regulation (EU) No 1094/2010 and Regulation (EU) No 1095/2010 of the European Parliament and of the Council
• COMMISSION OPINION in accordance with Article 19 of the Statute of the European Investment Bank

BANK FOR INTERNATIONAL SETTLEMENTS

• Further BIS publications
• Privacy-enhancing technologies for digital payments: mapping the landscape
• Estimating nonlinear heterogeneous agent models with neural networks
• Origins and foundations of central bank independence
• The granular origins of inflation
• Completing the post-pandemic landing
• Quantum-readiness for central banks and supervisors
• Streamlining variation margin in centrally cleared markets – examples of effective practices
• Global standard-setting bodies publish three final reports on margin in centrally and non-centrally cleared markets
• Transparency and responsiveness of initial margin in centrally cleared markets – review and policy proposals
• Streamlining variation margin processes and initial margin responsiveness of margin models in non-centrally cleared markets
• Ida Wolden Bache: Policy rate will likely be reduced in March
• Fritzi Köhler-Geib: Emission data – a mission for statistics
• Abdul Rasheed Ghaffour: Keynote address – launch of Tun Ismail Ali Centre of Excellence in Monetary and Financial Economics
• Jessica Chew Cheng Lian: Speech – launch of the Financial Markets Ombudsman Service
• Andrew Bailey: A central banker’s view of global challenges and expectations for the Bretton Woods Institutions’ response
• Darryl Chan: Europe, Asia and the changing global economy
• Rajeshwar Rao: Challenges in liability management – maintaining the balance
• Toni Gravelle: The end of quantitative tightening and what comes next
• Eli M Remolona: Message for the Annual Reception for the Banking Community
• Fabio Panetta: Peace and prosperity in a fragmented world
• Luis de Guindos: The economic outlook and monetary policy in the euro area
• Sabine Mauderer: Climate change and supervision – prioritise action, foster collaboration
• Sabine Mauderer: The year ahead for the Network for Greening the Financial System
• Rosanna Costa: Chile’s December 2024 Monetary Policy Report
• Elson Gaskin: The Frank Collymore Literary Endowment – literature enriches the tapestry of our nation
• Phil Mnisi: Eswatini Payment Switch Fast Payments product launch
• Olli Rehn: Global economy – fragmentation, decoupling or slowbalisation?
• Pan Gongsheng: Speech – opening ceremony of the Asian Financial Forum
• Ryozo Himino: Japan’s economy and monetary policy
• Michelle W Bowman: Reflections on 2024 – monetary policy, economic performance and lessons for banking regulation
• Who Remains Unbanked in the United States and Why?
• Climate Risk, Insurance Premiums and the Effects on Mortgage and Credit Outcomes
• Heterogeneous Impacts of Macroprudential Policies: Financial Advisors, Regulatory Caps, and Mortgage Risk
• Improving disaggregated short-term food inflation forecasts with webscraped data
• Banking in the Negative: A Vector Error Correction Analysis of Bank-Specific Lending and Deposit Rates
• The Impact of Labels on Real Asset Valuations
• Up in Smoke: The Impact of Wildfire Pollution on Healthcare Municipal Finance
• Tariffs and Goods-Market Search Frictions

IMF

• IMF: World Economic Outlook Highlights
• Policy Challenges in a Fragmenting World: Global Trade, Exchange Rates, and Capital Flows
• IMF Executive Board Concludes 2025 Article IV Consultation with Finland
• IMF Executive Board Concludes 2024 Article IV Consultation with the Republic of Poland
• IMF Executive Board Concludes 2024 Article IV Consultation with Malta
• Further publications by the IMF
• As One Cycle Ends, Another Begins Amid Growing Divergence
• Transcript of World Economic Outlook (WEO) Update, January 2025
• PFM Blog – Annual Top 10 Awards for 2024
• IMF Staff Concludes Visit to United Arab Emirates
• IMF Executive Board Concludes 2024 Article IV Consultation Discussions with the People’s Republic of China—Hong Kong Special Administrative Region
• IMF Executive Board Concludes 2024 Article IV Consultation with Oman
• IMF Executive Board Concludes 2024 Article IV Consultation with Malta
• IMF Executive Board Concludes 2025 Article IV Consultation with Finland
• IMF Executive Board Concludes 2024 Article IV Consultation with the Republic of Poland
• Principality of Liechtenstein: Staff Concluding Statement for the 2025 Article IV Mission

FSB

• FSB finds that the G20 financial regulatory reforms have enhanced the resilience of securitisation markets

GERMANY

• German economy listless at the end of the year – inflation rate still elevated
• Monthly Report: Eurosystem monetary policy affects risk appetite in euro area financial markets
• Deutsche Bundesbank: Further publications
• Trade dynamics under geopolitical risk | Discussion paper 03/2025: Makram Khalil, David Osten, Felix Strobel
• Cap and Trade versus tradable performance standard: A comparison for Europe and China | Discussion paper 02/2025: Peter Burgold, Anne Ernst, Natascha Hinterlang, Marius Jäger, Nikolai Stähler

SPAIN

• Banco de España Working Papers
• Working Papers. Carbon pricing, border adjustment and renewable energy investment: a network approach
• Working Papers. Perceiving central bank communications through press coverage
• Working Papers. CATALIST: A new, bigger, better model for evaluating climate change transition risks at Banco de España

SWITZERLAND

• WP – 2025-01-20 – David Borner: Central bank information and pure monetary policy surprises in Switzerland

UNITED STATES

• U.S. White House Fact Sheet: Executive Order to Establish United States Leadership in Digital Financial Technology

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