Part of objective 1 of the capital markets union (CMU) action plan, action 6 aims to helping banks to lend more to the real economy.
The overall objective of this comprehensive review will aim at targeting how to strengthen the role of securitisation as an instrument available to banks to help them provide sustainable and stable funding to the real economy in a post-COVID-19 environment, with a particular focus on SMEs and the green transition. Particular attention will be paid to the capacity of the current framework to adequately reflect the effective riskiness of both STS and non-STS securitisation instruments, including the appropriateness of disclosure requirements, the process for recognising significant risk transfer and the prudential treatment of cash and synthetic securitisation, while preserving the financial stability of the EU.
The Commission aims at publishing a report on the functioning of the EU securitisation framework for both simple transparent and standardised (STS) and non-STS securitisation by Q3 2022.
- Targeted consultation on the functioning of the EU securitisation framework (closed in September 2021)