Reform of bank crisis management and deposit insurance framework

The European Commission has today adopted a proposal to adjust and further strengthen the existing EU bank crisis management and deposit insurance (CMDI) framework. The proposal will enable authorities to organise an orderly market exit for failing banks of any size and business model, including smaller players.

Today’s proposal draws on the lessons learned from the first years of application of the framework, and makes further improvements. It will give resolution authorities even more effective tools to ensure that, when a crisis occurs and when financial stability is at stake, depositors – for instance individuals, businesses and public entities – can continue to access their accounts. In particular, it will facilitate the use of industry-funded safety nets to enable authorities to shield depositors in bank crises, such as through the transfer from an ailing bank to a healthy one.

Overall, this will preserve financial stability, protect taxpayers and depositors, and increase the efficiency of the crisis management framework for the economy.

Press pack

• Press release
• Frequently asked questions
• Factsheet: Reform of the crisis management and deposit insurance framework
• Watch the press conference

Legislative proposals and related documents

• Communication on the review of the CMDI framework contributing to completing the banking union
• Proposed amendments to the Bank Recovery and Resolution Directive
• Proposed amendments to the Single Resolution Mechanism Regulation
• Proposed amendments to the Deposit Guarantee Schemes Directive
• Proposed amendments to the Daisy Chain Act
• Impact assessment accompanying the proposal
• Summary of the impact assessment accompanying the proposal
• Second Single supervision mechanism report
• Joint Research Center (JRC) research update on the reform of the CMDI

Additional information

• Presentation on the review of the CMDI framework: What is it all about?
• Technical presentation by Directorate General for Financial Stability, Financial Services and Capital Markets Union (DG FISMA) on the review of the CMDI framework
• Technical presentation by DG FISMA on the impact assessment accompanying the review of the CMDI framework