How do CRD V and CRR II Impact You?

On June 7, 2019, the Official Journal of the European Union (EU) published the amended Capital Requirements Directive (CRD V) and Capital Requirements Regulation (CRR II).

The goal of the CRD V and CRR II combined packages was to improve the stability of the financial system by addressing shortcomings of previous regulation, such as;

  • Lack of visibility for regulators when assessing capital adequacy of non-EU domiciled financial institutions operating within the EU
  • Excessive cost of reporting for small, less complicated organizations
  • Financial institutions clarify capital calculations to reduce diversity in practice when calculating capital at quarter-end

The package also refines the Basel III framework and introduces the first elements of the much-anticipated Basel IV.


David Grant
Managing Director
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