Thematic supervision in 2016: current topics

Datum 25 februari 2016

"By comparing banks you can get a better understanding of the sector and it enables you to identify the outliers. That's what makes thematic examination such a powerful tool," says Diny Tiellemans, Department Head of Supervision.

Diny Tiellemans

What are this year's themes for on-site supervision?
"We will be focusing on interest rate risk, data quality and remuneration policies. As regards interest rate risk, we will be performing on-site examinations at various banks. We will be looking at the institutions' vulnerabilities resulting from prolonged low interest rate levels. Data quality has been on our priority list for some time, and we will be examining this more systematically at both large and smaller banks. We also plan to examine remuneration policies at large banks."  

How will you approach this?
"Individual supervision plans are drafted for all banks in the context of European banking supervision, and on-site examinations are part of these plans. We try and take a thematic approach to our on-site examinations where possible, as examining a theme at multiple banks simultaneously provides us with an understanding of sector-wide issues and allows us to identify any exceptional cases. However, this is not always an option, which means that we also conduct non-thematic on-site examinations throughout the year."  

What are your conclusions after one year of on-site supervision?
"We found that the thematic approach works well in supervision. Comparing multiple banks provides you with a better understanding of the sector. Many regulations come in the form of guidance, and by benchmarking you can assess how different banks have implemented these regulations. We have found that the ECB is also in favour of thematic examination."  

Do you plan to continue in the same vein in 2016?
"Yes, we do. Dutch banks have had to get used to European banking supervision – which is only logical, since the intensity of supervision has increased. Now that European banking supervision has been in operation for more than a year, our supervision programme is much more transparent and banks are responding more adequately to requests for data. The main thing now is to keep the dialogue alive, to ensure that supervision can be exercised as effectively and efficiently as possible."

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