European Union: Capital Adequacy/BASEL

The implementation of CRD VI introduces a new regulatory framework governing how non-EU credit institutions and undertakings can provide core banking services within the European Union. Ireland's transposition of Article 21c requirements on 10 July 2026 creates both opportunities and interpretive challenges for firms navigating deposit-taking, lending, and guarantee provision in the post-January 2027 landscape.

The European Commission has proposed significant amendments to the EU's securitisation framework, aiming to remove barriers in the market while maintaining investor protections. With the Council and Parliament having finalized their positions, trilogue negotiations are now underway under Ireland's EU Presidency, testing the balance between market liberalization and regulatory safeguards.

The Malta Financial Services Authority has introduced significant amendments to its Investment Services Rules affecting firms offering contracts for difference and rolling spot forex contracts. These changes streamline authorisation requirements, align capital thresholds with EU frameworks, and recalibrate governance expectations while removing certain prescriptive obligations that have been superseded by broader European legislation.

EU banks now operate with stronger capital and liquidity positions following post-crisis reforms, but attention is shifting to how the framework functions in practice. Fragmentation within the single market, regulatory complexity, and the implementation of Basel III standards are emerging as central policy concerns. France, Italy and Spain are exploring ideas to facilitate cross-border banking activity while the European Commission reviews the sector's competitiveness.

The Malta Financial Services Authority has issued a DEAR CEO letter outlining minimum expectations for authorized persons' preparedness for Payment Services Directive 3. This guidance document provides essential compliance information and offers legal support resources for financial institutions navigating PSD3 requirements.

The Dutch Senate has approved legislation implementing CRD VI, fundamentally changing how non-EU banks can provide loans and banking services to corporate borrowers in the Netherlands and across the EU.

European financial regulation has grown substantially in complexity over the past two decades. Multiple institutions operate at global, European and national levels, each with a distinct mandate, legal basis and range of instruments.

Poland is one of the most dynamic fintech and crypto markets in Central and Eastern Europe, combining strong technical talent, a developed financial sector, and competitive operating conditions.

The Central Bank of Ireland's (CBI) Regulatory & Supervisory Outlook Report 2026 (the Report) is published at a time of accelerating change.