EBA launches consultation on amended disclosure requirements for ESG risks, equity exposures and aggregate exposure to shadow banking entities

The EBA proposes a proportionate ESG disclosure framework aligned with the European Commission’s initiative to simplify sustainability reporting. Simplified requirements are proposed for small and medium banks, as well as clarifications and enhancements to streamline reporting. No new obligations are introduced for large-listed banks. To support institution's implementation, the EBA proposes to introduce transitional measures and supervisory flexibility aimed at reducing the compliance burden for institutions. The European Banking Authority (EBA) today launched a public consultation on proposed amendments to the European Commission’s Implementing Regulation on Pillar 3 disclosures under the CRR 3. The proposal specifies enhanced and proportionate disclosure requirements related to ESG-related risks, equity exposures and aggregate exposure to shadow banking entities. It also implements the new codes for the statistical classification of economic activities in the EU (NACE).  The. Today’s proposal aims to enhance transparency and consistency of disclosures in a proportionate manner. The consultation runs until 22 August 2025. This consultation paper finalises the implementation of the Pillar 3 disclosure requirements introduced by the banking package (CRR 3), including the extension of the scope of application of ESG risks-related disclosures to all institutions and the disclosure of information on shadow banking and equity exposures. In line with the European Commission’s...