Amendment to Regulation (EU) No 575/2013 on prudential requirements for credit institutions

This procedure updates the rules for how banks and credit institutions manage risks associated with securitisation. By refining the prudential requirements, the EU aims to ensure that financial institutions hold enough capital to cover potential losses, thereby increasing the stability of the overall financial system.

This affects banks, credit institutions, and financial supervisors. It changes how these entities calculate risk weights and capital requirements for securitised assets.