| European Union directive | |
| Text with EEA relevance | |
 | |
| Title | on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms |
|---|---|
| Made by | European Parliament and Council |
| Made under | Article 53(1) of the TFEU. |
| Journal reference | OJ L 176, 27 June 2013, p. 338–436 |
| History | |
| Date made | 26 June 2013 |
| Implementation date | 18 July 2013 |
| Applies from | 31 December 2013 |
| Preparative texts | |
| EESC opinion | OJ C 68, 6.3.2012, p. 39–44 |
| Other legislation | |
| Replaces | Directive 2006/48/EC and Directive 2006/49/EC (among others) |
| Amends | Directive 2002/87/EC |
| Amended by | Directive 2014/17/EU and Directive 2014/59/EU |
| Current legislation | |
The Capital Requirements Directives (CRD) for the financial services industry have introduced a supervisory framework in the European Union which reflects the Basel II and Basel III rules on capital measurement and capital standards.
Member States have progressively transposed, and firms of the financial service industry thus have had to apply, the CRD from 1 January 2007. Institutions were allowed to choose between the initial basic indicator approach, which increases the minimum capital requirement in Basel I approach from 8% to 15% and the standardised approach, which evaluates the business lines as a medium sophistication approaches of the new framework. The most sophisticated approaches, Advanced IRB approach and AMA or advanced measurement approach for operational risk were available from January 2008. From this date, all concerned EU firms had to comply with Basel II.
The new CRD IV package entered into force on 17 July 2013: this updated CRD simply transposes into EU law the latest global standards on bank capital adequacy commonly known as Basel III, which builds on and expands the existing Basel II regulatory base. CRD IV commonly refers to both the EU Directive 2013/36/EU and the EU Regulation 575/2013.[1]
The Capital Requirements Directives superseded the EU's earlier Capital Adequacy Directive that was first issued in 1993.
- ^ "Capital requirements regulation and directive – CRR/CRD IV". European Commission. Retrieved 6 December 2015.