The Eurosystem Governing Council published more feedback from the IReF cost-benefit assessment this September. Following the first report publication at the end of 2021, three new reports covering technical aspects, country-specific requirements, reporting schedules and more have been shared.
As part of the ongoing work to establish the Integrated Reporting Framework (IReF), the Eurosystem has undertaken a series of consultations with the banking industry and stakeholders to gauge the reception and help shape the new framework.
A cost-benefit assessment began in 2020, which explored the costs and benefits of a number of reporting scenarios, for various aspects of the collection framework.
This assessment covered the data requirements and corresponding modelling options, reporting timelines, revision policy and derogations, technical and operational implementation, and integration of country-specific requirements.
The Eurosystem initially focused on the responses to the cost drivers and benefits specficially, and the fundamental question of whether the benefits of adopting IReF would outweigh the associated costs.
The results were published in December 2021, and showed strong support from the banking industry and stakeholders. For all groups, the benefits of the new framework were predicted to outweigh the costs. Support was highest in cross-border banking groups. But for single institutions too, most respondents were in favour of the IReF, despite implementation costs.
Since then, the Eurosystem has continued to analyse the responses to the other aspects of the framework. These results have now been published in three new reports:
• Content-related topics and technical aspects
• The technical integration of country-specific requirements
• Reporting schedules, revision policy, approach to derogations and implementation aspects
In addition to this, the Eurosystem will also hold a further, complementary cost-benefit assessment with IReF stakeholders on additional relevant topics, including gaps that have been identified in the last assessment regarding implementation.
You can view the reports and updated overview of IReF, here.