Page 17 - EBA 2015.1815 Annual report 2014 web 2

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2 0 1 4 a n n u a l r e p o r t
The EBA’s role in the evolving
European supervisory and
resolution architecture
The EBA was established on 1 January 2011,
at the height of the financial crisis, as part of
the ESFS and took over all existing responsi-
bilities and tasks of the Committee of Euro-
pean Banking Supervisors (CEBS).
The EBA is an independent Authority whose
mission is to build a single regulatory and
supervisory framework for the entire bank-
ing sector in the 28 EU Member States, so as
to ensure an efficient, transparent and stable
Single Market that benefits its consumers,
businesses and the broader economy.
One of the main tasks of the EBA is to con-
tribute to the development of the European
Single Rulebook in banking whose objective is
to provide a single set of harmonised pruden-
tial rules for financial institutions throughout
the EU. The Authority also plays an important
role in promoting convergence of supervisory
practices and cross-border supervisory coop-
eration for those banking groups that operate
in more than one EU country.
In addition, the EBA is mandated to assess
the impact of market developments in order
to identify risks and vulnerabilities across the
EU banking system and acts as a centralised
disclosure hub for supervisory data on EU
banks, with the aim of enhancing transparen-
cy, fostering market discipline and promoting
financial stability across the EU. The EU-wide
bank stress test exercise, which is coordinated
by the EBA, is one of the supervisory tools for
this purpose and the Risk Dashboard and Risk
Assessment Reports provide regular assess-
ment and monitoring of the main risks and
vulnerabilities in the EU banking sector.
Figure 1: The EBA’s role in the Banking Union
and convergence
of practices
Mechanism (SRM)
EU 19+
Mechanism (SSM)
EU 19+
Single Rulebook
EU 28
participating MS
in the SSM/SRM