The European Banking Authority (EBA) has been conducting regular and ad-hoc quantitative impact studies to assess or monitor the impact of various rules on the EU banking sector.

Regular monitoring exercises include EBA Basel III monitoring and liquidity monitoring exercises. Ad-hoc exercises include the impact assessment of the small and medium enterprises (SME) supporting factor and the impact assessment of Basel III reforms.

EBA Basel monitoring

The EBA conducts, in coordination and in parallel with the Basel Committee on Banking Supervisions (BCBS), a monitoring exercise to assess the impact of the final Basel III framework on a sample of EU banks. This exercise assesses the latest regulatory developments at BCBS level and is carried out on a semi-annual basis (as of end-June and end-December) on a voluntary basis.

The EBA will make its Basel III monitoring exercise mandatory from 31 December 2021 according to the EBA Decision concerning information required for the monitoring of Basel supervisory standards (press release of 16 March 2021).

How the monitoring exercise is conducted

The impact of Basel III is assessed using mostly the following three measures:

  • Percentage impact on minimum required Tier 1 capital (MRC);
  • Impact, in basis points, on the current actual Tier 1 capital ratio;
  • Tier 1 capital shortfall resulting from the full implementation of Basel III, i.e. the capital amount that banks need to fulfil the Basel III MRC.

Regarding the percentage impact on MRC, the analysis breaks down the impact per risk category, namely, credit risk (standardised approach, internal ratings-based approach, securitisation and other components), market risk, credit valuation adjustments, operational risk, output floor, and leverage ratio requirements

Standards of the Basel III framework currently being monitored

EBA Liquidity monitoring

Besides the Basel III monitoring analysis, the EBA publishes a regular monitoring of the Liquidity Coverage Ratio (LCR) measure under the mandate in article 509 (1) of the CRR.

The EBA Reports on the LCR published prior to 2018 can be found here.

Ad-hoc quantitative impact studies

In addition to the monitoring exercises, the EBA occasionally publishes ad-hoc impact assessment reports in relation to specific EU or BCBS policy initiatives or revisions of EU or Basel standards. The studies are designed based on specific features and the desired outcomes of the legislation.

List of ad-hoc quantitative impact studies


Reports 2020

10 December 2020

EBA Report on Basel III Monitoring (data as of 31 December 2019)

17 December 2020

EBA Report on Liquidity Measures (data as of 31 December 2019)

8 April 2020

EBA Report on Basel III Monitoring (data as of 30 June 2019)

8 April 2020

EBA Report on Liquidity Measures (data as of 30 June 2019)