IFRSs help improve bank regulation in Europe
18 Jun 2007
In its 2006 annual report, the Committee of European Banking Supervisors acknowledges that "the adoption of the Capital Requirements Directive (CRD) in June 2006, together with the introduction of International Financial Reporting Standards (IFRS), provides CEBS with a unique window of opportunity to promote greater consistency in supervisory approaches across the EU and the European Economic Area (EEA)." The CRD implements the Basel II capital adequacy framework in the European Union (EU).
The new framework harmonises capital requirements for credit institutions and investment firms and encourages them to improve their risk management processes. Click to download 2006 CEBS Annual Report (PDF 1,903k).