The Bank of Italy has signed the Multilateral Memorandum of Cooperation (MMC) between the European Central Bank and the National Competent Authorities of the Member States participating in the Single Supervisory Mechanism. Specifically, it aims to make the new supervisory cooperation requirements operative, envisaged under the Capital Requirements Directive, among the competent authorities supervising credit institutions branches with a head office in a third country and the competent authorities of institutions that are part of the same third-country group.
Although the Memorandum is not legally binding, it sets out the framework for more effective cooperation and the exchange of information between the Authorities for supervisory purposes. For third-country groups with a more significant footprint in Member States participating in European banking supervision, the memorandum establishes supervisory fora as a closer form of cooperation among the authorities supervising different entities of the same third-country group. Participating authorities are also expected to hold regular meetings on the activities of third-country groups in their respective jurisdictions.
The Multilateral Memorandum of Cooperation came into effect on January 19, 2024 and is published on the ECB website.
