Market risk capital relief could cut charges at 13 EU banks

EBA says Covid-style measures could be considered to tackle energy crisis

The reintroduction of a waiver for value-at-risk overshoots – to mitigate the impact of the energy crisis – could cut capital requirements at more than a dozen European Union dealers, Risk Quantum analysis shows.

In response to the European Commission’s questions on excessive volatility in energy derivatives markets, the European Banking Authority (EBA) said last week it is aware of the similarities between the Covid-19 pandemic and the current energy crisis, and is assessing the need to