Article 458 - Macroprudential or systemic risk identified at the level of a Member State
Macroprudential or systemic risk identified at the level of a Member State
The notification shall be accompanied by the following documents and include, where appropriate, relevant quantitative or qualitative evidence on:
the changes in the intensity of macroprudential or systemic risk;
the reasons why such changes could pose a threat to financial stability at national level or to the real economy;
an explanation as to why the authority considers that the macroprudential tools set out in Articles 124 and 164 of this Regulation and Articles 133 and 136 of Directive 2013/36/EU would be less suitable and effective to deal with those risks than the draft national measures referred to in point (d) of this paragraph;
the level of own funds laid down in Article 92;
the requirements for large exposures laid down in Article 392 and Articles 395 to 403;
liquidity requirements laid down in Part Six;
risk weights for targeting asset bubbles in the residential property and commercial immovable property sector;
the public disclosure requirements laid down in Part Eight;
the level of the capital conservation buffer laid down in Article 129 of Directive 2013/36/EU; or
intra-financial sector exposures;
an explanation as to why the draft measures are considered by the authority designated in accordance with paragraph 1 to be suitable, effective and proportionate to address the situation; and
an assessment of the likely positive or negative impact of the draft measures on the internal market based on information which is available to the Member State concerned.
Within one month of receipt of the notification referred to in paragraph 2, the ESRB and EBA shall provide their opinions on the matters referred to in points (a) to (f) of that paragraph to the Council, to the Commission and to the Member State concerned.
Taking utmost account of the opinions referred to in the second subparagraph and if there is robust, strong and detailed evidence that the measure will have a negative impact on the internal market that outweighs the financial stability benefits resulting in a reduction of the macroprudential or systemic risk identified, the Commission may, within one month, propose to the Council an implementing act to reject the draft national measures.
In the absence of a Commission proposal within that period of one month, the Member State concerned may immediately adopt the draft national measures for a period of up to two years or until the macroprudential or systemic risk ceases to exist if that occurs sooner.
The Council shall decide on the proposal by the Commission within one month after receipt of the proposal and state its reasons for rejecting or not rejecting the draft national measures.
The Council shall only reject the draft national measures if it considers that one or more of the following conditions are not met:
the changes in the intensity of macroprudential or systemic risk are of such nature as to pose risk to financial stability at national level;
the draft national measures do not entail disproportionate adverse effects on the whole or parts of the financial system in other Member States or in the Union as a whole, thus forming or creating an obstacle to the functioning of the internal market; and
the issue concerns only one Member State.
The assessment of the Council shall take into account the opinion of the ESRB and EBA and shall be based on the evidence presented in accordance with paragraph 2 by the authority designated in accordance with paragraph 1.
In the absence of a Council implementing act to reject the draft national measures within one month of receipt of the proposal by the Commission, the Member State concerned may adopt the measures and apply them for a period of up to two years or until the macroprudential or systemic risk ceases to exist if that occurs sooner.