159. The table below presents a non-exhaustive list of supervisory measures that competent …

The table below presents a non-exhaustive list of supervisory measures that competent authorities may take in case of identified deficiencies in the institution’s credit and counterpart risk management framework. Competent authorities should decide on the type of the measure based on its effectiveness to the specific identified deficiency. Competent authorities may apply additional supervisory measures (including quantitative measures in accordance with Article 104(1)(a) of the Directive 2013/36/EU) or a combination of them if these are deemed more appropriate to address the identified deficiencies.

Table 7. Potential and non-exhaustive supervisory measures for credit and counterparty risk Potential supervisory measures for competent authorities in accordance with Article 104(1)(b), (d), (e), (f), (j), (l), (m), (n) of Directive 2013/36/EU – Competent authorities may require the institution to: A. involve the management body or its committees more actively in relevant credit decisions; B. improve credit risk measurement systems; C. improve controls on credit processes, including credit granting, monitoring and recovery; D. enhance collateral management, evaluation and monitoring; E. enhance the quality and frequency of reporting on credit risk to the management body and senior management; F. apply a specific provisioning policy, and – where permitted by accounting rules and regulations – require it to increase provisions; G. adjust internal risk parameters and/or risk weights used to calculate risk exposure amounts for specific products, sectors or types of obligors; H. apply higher haircuts to the value of collateral; I. reduce large exposures or other sources of credit concentration risk; J. tighten credit-granting criteria for all or some product or obligor categories; K. reduce its exposure to, or acquire protection for, specific types of facilities (e.g. mortgages, export finance, commercial real estate, securitisations), obligor categories, sectors, countries, etc.; L. implement an appropriate strategy to reduce the amount or share of nonperforming exposure; Potential supervisory measures for competent authorities in accordance with Article 104(1)(b), (d), (e), (f), (j), (l), (m), (n) of Directive 2013/36/EU – Competent authorities may require the institution to: M. enhance the credit risk management related to ESG risks, in particular environmental risks, potentially based on one or several actions listed above.

1. Ħarsa ġenerali

1.1 Referenzi

1.2 Rekwiżiti identifikati

1.3 Standards relatati

2. Rekwiżiti identifikati

3. Standards relatati

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