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Operational guidance on bail-in implementation

The Single Resolution Board publishes its operational guidance to banks on the implementation of the bail-in tool.

These documents include updated guidance as of June 2022 on bail-in playbooks, bail-in data set instructions and an explanatory note on the latter. This guidance compiles the main elements that banks are expected to consider for enhancing their bail-in playbooks and the operationalisation of the bail-in tool in resolution.

Compared to the guidance published in August 2020, the documents add more detail to the expectations related to intra-group loss transfer and recapitalisation mechanisms between the resolution entity and its subsidiaries, as well as the required Management Information Systems (MIS) capabilities.

It further introduces a dedicated section on the testing of bail-in playbooks and MIS capabilities by banks and includes targeted amendments based on the SRB’s experience in this area since August 2020.

The operational guidance, updated by the SRB together with national resolution authorities, takes feedback from banks and lessons learned in crisis simulation exercises into account.

The documents are not a set of SRB policies, but rather a guide to help banks ensure the required preparation for bail-in application during the resolution planning phase and to fulfil the SRB's Expectations for Banks, which outlines the role of banks in making themselves resolvable.