The European Association of Co-operative Banks (EACB) has submitted its response to ESMA’s Call for Evidence on the simplification of financial transaction reporting, a welcomed and long awaited initiative, to streamline reporting requirements, reduce unnecessary burdens, and improve data quality across the EU.
In our response we highlight the following key points:
- While we support immediate steps to remove duplication between EMIR, MiFIR and SFTR (Option 1a) to provide short-term administrative relief, in the longer run, our objective is moving towards a single “report once” regime (Option 2a) that we believe is the most appropriate and sustainable solution.
- A gradual transition -e.g. starting with the removal of duplication and progressing to a unified framework- will balance both urgency to relief the business from complexity and administrative burden with the need for robust implementation.
- For on-venue and centrally cleared transactions, reporting should be carried out directly by the trading venues and CCPs, which are the natural sources of high-quality data. This would significantly reduce costs and complexity.
- Any future framework must be developed jointly by ESMA and market participants, ensuring proportionality and avoiding overly complex or excessively large reporting requirements.
These proposals aim to combine operational efficiency with high-quality supervisory data, supporting ESMA’s objectives while reducing unnecessary costs for cooperative banks and other financial institutions.
Download our response for more information