Article summary
The European Banking Authority (EBA) has published a report on aspects of the net stable funding ratio (NSFR) framework. It evaluates the materiality of specific elements and an assessment of the impact of possible changes to the current prudential treatment. The report concludes that the current treatment appears aligned with other jurisdictions so that any changes would jeopardise harmonisation. Therefore, the EBA believes that changes to the current legislation are not necessary.
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