This report evaluates how competent authorities have implemented previous recommendations regarding ICT risk assessment within the Supervisory Review and Evaluation Process (SREP). The document highlights a significant shift in the regulatory landscape due to the application of DORA, which establishes a unified framework for financial sector resilience. According to the findings, supervisors have made notable progress by forming specialized ICT teams, enhancing technical expertise, and adopting automated monitoring tools. Furthermore, the report details the integration of ICT-specific guidelines into broader operational risk assessments to ensure a more cohesive supervisory approach. While most authorities have successfully adopted benchmarking and horizontal analysis, the EBA emphasizes that maintaining supervisory convergence remains an ongoing priority as technology evolves. Overall, the report confirms that the EU is moving toward a more harmonized and robust regime for managing digital risks in banking.
This document presents the formal evaluation of proposed simplifications to the European Sustainability Reporting Standards (ESRS). While the EBA supports the overall goal of reducing the reporting burden for companies, it expresses significant concern that certain permanent reliefs and data omissions could lead to long-term information gaps. The authority argues that a lack of high-quality, quantitative sustainability data may hinder risk management, facilitate greenwashing, and ultimately threaten financial stability. To address these risks, the EBA recommends implementing time-limited transitions for specific disclosure exemptions to ensure companies eventually provide comprehensive metrics. Additionally, the EBA emphasizes the need for interoperability with global standards and calls for the retention of key indicators, such as greenhouse gas emissions intensity, to support informed investment decisions.
This report examines the expanding natural catastrophe protection gap in Europe, which leaves a significant portion of disaster-related economic losses uninsured. The authors argue that private reinsurers possess the necessary capital, global diversification, and modeling expertise to absorb these risks more effectively than state-led initiatives. They caution that government-backed reinsurance schemes may inadvertently cause market distortions, such as moral hazard or suppressed pricing signals that discourage safety improvements. To enhance societal resilience, the document suggests focusing on increasing insurance take-up rates and implementing stricter land-use regulations. Ultimately, the board advocates for risk-based pricing and open markets to ensure that financial protection remains both sustainable and affordable amidst a changing climate.