21 February 2023
The European Banking Authority (EBA) today published its final revised Guidelines on deposit guarantee schemes (DGS) contributions. The revised Guidelines further strengthen the link between the riskiness of a credit institution and how much it needs to contribute to the DGS funds that will be used to reimburse depositors in case their bank fails.
The Guidelines harmonise the methodology for the DGS to collect contributions from credit institutions in proportion to their riskiness. Following an in-depth review of the application of the existing Guidelines over the period from 2015 to 2021, the EBA decided to revise the Guidelines, with a view to enhance the link between the riskiness of a credit institutions and its contributions to the DGS fund. The most substantial changes to the existing Guidelines include:
Finally, the EBA streamlined and simplified the wording of the Guidelines.
Article 13(3) of Directive 2014/49/EU on deposit guarantee schemes (DGSD) mandates the EBA to issue Guidelines to specify methods for calculating the contributions to DGSs. To that end, the EBA issued Guidelines EBA/GL/2015/10 on methods for calculating contributions to deposit guarantee schemes on 22 September 2015, which had to be implemented by 31 May 2016. Furthermore, Article 13(3) of the DGSD further requires the EBA to conduct a review of said Guidelines every five years. The first review was conducted in 2017, with the findings published in the form of an EBA Report, while the second review in 2022 resulted in a revision of the Guidelines as published today.
Franca Rosa Congiu