On 17 April, the German Bundestag adopted a comprehensive law implementing the EU Directive on consumer credit agreements. The objective of the reform is to strengthen consumer protection in credit transactions – particularly in the area of small consumer loans and so-called “Buy now, pay later” (BNPL) models. At the same time, requirements for lenders
Competitiveness and Simplification: Latest Developments on the Savings and Investment Union
The European Commission has identified the Savings and Investment Union (SIU) as one of the major goals of the current legislative term. The revision of securitisation regulation is intended to be the first major step in this direction. However, additional regulatory processes have also been initiated—here is an overview. Competitiveness of the EU Banking Sector
EU Inc. – Pioneering a New Legal Framework for European Companies
Today, the European Commission presented a draft regulation for the EU Inc. – a unified corporate form designed for the entire EU. As the cornerstone of a potential “28th regime”, it aims to harmonise further areas of law in the long term. Currently, fragmented national company laws hinder cross-border activities, increase administrative burdens, and drive up costs from incorporation
PRA and FCA Launch Comprehensive Consultation on UK Securitisation Regulation
The Prudential Regulation Authority (PRA), and the Financial Conduct Authority (FCA) have published the next comprehensive consultation on UK securitisation regulation following the 2023 consultation (see TSI kompakt of 14 August 2023). The aim is to decouple from the EU Securitisation Regulation and to complete the establishment of an independent domestic framework. Following initial technical
BCBS Publishes Analysis on Synthetic Risk Transfers
The Basel Committee on Banking Supervision (BCBS) today released a report on synthetic significant risk transfer (SRT) transactions. An SRT is required to achieve capital relief on the securitised position. Whilst this is also possible in true sale structures, it is predominantly implemented in synthetic securitisations. Over the past decade, the economic importance of SRT
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