European System of Financial Supervisors
Encyclopedia
The European System of Financial Supervisors is an institutional architecture of the EU's framework of financial supervision created in response to the financial crisis. First proposed by the European Commission in 2009, it replaced three existing Committees of Supervisors with three new authorities, a European Banking Authority
(EBA, taking over from the former Committee of European Banking Supervisors
), a European Insurance and Occupational Pensions Authority (EIOPA, succeeding the Committee of European Insurance and Occupational Pensions Supervisors) and a European Securities and Markets Authority
(ESMA, succeeding the Committee of European Securities Regulators
). To complement this framework, there is also a European Systemic Risk Board
(ESRB) under the responsibility of the European Central Bank
.
in September 2010, after an initial agreement reached between the European Commission and member states in December 2009 had triggered parliamentary criticisms. The three institutions are due to begin operations by January 2011.
European Banking Authority
The European Banking Authority is a regulatory agency of the European Union headquartered in London, United Kingdom. Its activities include conducting stress tests on European banks to increase transparency in the European financial system by identifying weaknesses in banks' capital structures...
(EBA, taking over from the former Committee of European Banking Supervisors
Committee of European Banking Supervisors
The Committee of European Banking Supervisors was an independent advisory group on banking supervision in the European Union. Established by the European Commission in 2004 by Decision 2004/5/EC, and its charter revised on 23 January 2009, it was composed of senior representatives of bank...
), a European Insurance and Occupational Pensions Authority (EIOPA, succeeding the Committee of European Insurance and Occupational Pensions Supervisors) and a European Securities and Markets Authority
European Securities and Markets Authority
The European Securities and Markets Authority is a European Union financial regulatory institution and European Supervisory Authority located in Paris....
(ESMA, succeeding the Committee of European Securities Regulators
Committee of European Securities Regulators
The Committee of European Securities Regulators was an independent committee of European Securities regulators established by European Commission on June 6 of 2001...
). To complement this framework, there is also a European Systemic Risk Board
European Systemic Risk Board
The European Systemic Risk Board was established on 16 December 2010 in response to the ongoing financial crisis. It is tasked with the macro-prudential oversight of the financial system within the Union in order to contribute to the prevention or mitigation of systemic risks to financial...
(ESRB) under the responsibility of the European Central Bank
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...
.
Background
A deal to set up EBA in London, ESMA in Paris and EIOPA in Frankfurt received backing from the European ParliamentEuropean Parliament
The European Parliament is the directly elected parliamentary institution of the European Union . Together with the Council of the European Union and the Commission, it exercises the legislative function of the EU and it has been described as one of the most powerful legislatures in the world...
in September 2010, after an initial agreement reached between the European Commission and member states in December 2009 had triggered parliamentary criticisms. The three institutions are due to begin operations by January 2011.
See also
- European Banking AuthorityEuropean Banking AuthorityThe European Banking Authority is a regulatory agency of the European Union headquartered in London, United Kingdom. Its activities include conducting stress tests on European banks to increase transparency in the European financial system by identifying weaknesses in banks' capital structures...
- European Insurance and Occupational Pensions Authority
- European Securities and Markets AuthorityEuropean Securities and Markets AuthorityThe European Securities and Markets Authority is a European Union financial regulatory institution and European Supervisory Authority located in Paris....
- European Systemic Risk BoardEuropean Systemic Risk BoardThe European Systemic Risk Board was established on 16 December 2010 in response to the ongoing financial crisis. It is tasked with the macro-prudential oversight of the financial system within the Union in order to contribute to the prevention or mitigation of systemic risks to financial...