Pretraži

This document provides an overview of the public hearings of the Chair of the Supervisory Board of the European Central Bank in the ECON Committee during the 9th parliamentary term (since July 2019), and lists all research papers requested by the ECON Committee, which are in general provided by a standing panel of banking experts. The annex gives an overview of the respective legal bases for those hearings, which form part of the accountability framework of the Single Supervisory Mechanism (SSM). ...

The first part of the paper considers the effects of pre-empting a resolution procedure for a troubled financial institution by a precautionary recapitalization as specified in Article 32 (4) (d) of the Bank Recovery and Resolution Directive (BRRD). Benefits are seen for the maintenance of systemically important operations of an institution with legally independent subsidiaries in multiple jurisdictions and possibly for the maintenance of lending in situations where an entire banking system is involved ...

Precautionary recapitalisation, a tool for public intervention in the banking sector defined in the Bank Recovery and Resolution Directive (BRRD), is consistent with the rest of BRRD and a legitimate instrument for bank crisis management. The conditions set for it by BRRD are restrictive and have so far been effective to prevent its inappropriate use on insolvent banks. Minor corrections to the legislative text are desirable to fix a few cases of poor drafting. Beyond these, there is no immediate ...

The paper conducts an analysis of the precautionary recapitalisation tool of article 32.4(d)(iii) of the BRRD, which gives Member States the ability to provide support to solvent banks with a capital shortfall highlighted by stress tests and asset quality reviews, in case of a serious disturbance in the economy. In doing so, the paper examines the relationship between precautionary recapitalisation, financial stability and a serious disturbance in the economy underlying how the absence of a clear ...

With the introduction of the Bank Recovery and Resolution Directive (BRRD), public capital contributions to insolvent banks should have become a thing of the past or at least an extremely unlikely eventuality. The supposedly exceptional precautionary recapitalisation of Banca Monte dei Paschi (MPS) seems to offer evidence of the contrary. Based on a review of the empirical literature and the resent resolution of Banco Popular and MPS, this paper argues that a precautionary recapitalisation facility ...

Farmers are often confronted with substantial changes in the prices they receive for the sale of their agricultural products, which causes financial uncertainty about their incomes. Commonly referred to as 'price volatility', this phenomenon is more evident in agriculture than in other economic sectors due to a variety of economic, natural and political factors. Data provided by the United Nations Food and Agriculture Organisation suggest that global price volatility has been on the increase since ...

The milk crisis in the EU has persisted since 2015. In light of the situation facing the dairy sector and recognising that the outlook for milk prices is not encouraging, Parliament has requested the Commission and the Council to provide an update in plenary on measures to address the situation.

This study, provided by the Policy Department A at the request of the ITRE Committee gives an overview and analysis of the main EU policies, measures and instruments that contribute to the realisation of fully integrated and well-functioning electricity and gas markets in Europe. Detailed case studies explore capacity remuneration mechanisms, electricity market coupling, and cross-border gas trade between Hungary and its neighbours. Policy recommendations to improve the effectiveness of the integration ...

In early 2015, at a time when most indicators of actual and expected inflation in the euro area had drifted towards historic lows, the European Central Bank (ECB) announced that it would launch a new asset purchase programme, which would be similar in many respects to the 'Quantitative Easing' (QE) programmes launched earlier by the United States Federal Reserve System, the Bank of England and the Bank of Japan. Researchers have published extensively on issues relating to the programme. On one ...

This study analyses the current status and potential of energy storage in the European Union. It aims at suggesting what market designs and regulatory changes could foster further cost reduction and further deployment of energy storage technologies to provide services supporting the Energy Union strategy. This study was prepared by Policy Department A at the request of the Committee on Industry, Research and Energy Committee (ITRE).