Europe: EBA consults on proposed Guidelines for assessing the suitability of credit institutions' management body members and key function holders

The European Banking Authority has published for consultation a draft of its proposed Guidelines for assessing the suitability of credit institutions' management body members and key function holders: see here (pdf). The Guidelines seek in particular to harmonise the assessment criteria and to make clear the expectations placed upon Member States' supervisory authorities and credit institutions.

Existing EBA Guidelines, including those relating to internal governance, are available here. Article 16 of the Regulation established the EBA (No 1093/2010 - see here, pdf) outlines the role of Guidelines within the European financial supervisory framework: Member States' Authorities must, within two months of Guidelines being issued, confirm whether they comply (or intend to comply). Where there is non-compliance, or proposed non-compliance, an explanation must be given to the EBA.