AnaCredit - An Overview of European Regulatory Reporting

Introduction

AnaCredit (The Analytical Credit and Credit Risk Dataset), is a project from the European Central Bank (ECB) to create a shared database containing information on bank loans to companies. Credit institutions across the Eurozone will be required to report specific, standardized data on loans and other credits.

AnaCredit is the European Central Bank’s shared multipurpose database containing detailed information on individual bank loans in the euro area, harmonised across all Member States.

The ECB sees AnaCredit as a building block in the ECB’s statistics strategy which is promoting an integrated, more streamlined reporting framework for banks.

Data collection for AnaCredit is due to start in September 2018, and the regulation will come into full force in 2020. Failure to comply with the reporting obligations could mean significant fines.

The Banks’ Integrated Reporting Dictionary (BIRD) and the European Reporting Framework (ERF) initiatives are key components of the new framework, which is being implemented gradually with the dual aims of improving data quality and minimising the reporting burden. International principles for risk data aggregation and reporting are also intended to enhance banks’ governance frameworks and their risk data aggregation capabilities and risk reporting practices.

AnaCredit shall serve multiple purposes and close current data gaps. This can be achieved as loan-byloan data in such granularity, as AnaCredit will provide, enables a high flexibility with regards to analysis. Depending on the specific purpose customized data requests and analyses can be run. Thus, a full re-use of micro data can be accomplished.

 User Institutions of AnaCredit Data

• European Central Bank (ECB)

• NCBs of European System of Central Banks (ESCB)

• European Commission (Eurostat)

• European Systemic Risk Board (ESRB)

• Bank for International Settlements (BIS)

• International Monetary Fund (IMF)

• World Bank

• Financial Stability Board (FSB) 

AnaCredit will support the following central bank tasks

• Monetary policy analysis and operations

• Financial stability surveillance

• Risk management

Scope of AnaCredit report

The scope of loans to be reported are

• Deposits other than reverse repurchase agreements

• Overdrafts

• Credit card debt

• Revolving credit other than overdrafts and credit card debt

• Credit lines other than revolving credit

• Reverse repurchase agreements

• Trade receivables

• Financial leases

• Other loans

   

Main elements of the AnaCredit Scope

Type-Requirements

Creditor-Credit institutions (incl. branches)

Debtor-Corporations & other legal entities

Threshold-25,000 €

Attributes-89 attributes & 6 identifier

Reporting frequency-Mainly monthly

Schedule-Counterparty reference data: March 2018,Credit data: September 2018

National discretion-NCBs may collect data from December 2017 onwards, NCBs may grant derogations to small reporting agents

Attributes to be reported by small reporting agents in Germany

Counterparty reference data

· National identifier

· Name

· Address: street

· Address: city / town / village

· Address: postal code

· Address: country

· Accounting standard

Credit Data

· Type of instrument

· Default status of the instrument

· Date of the default status of the instrument

· Outstanding nominal amount

· Accrued interest

· Off-balance sheet amount

· Counterparty role

· Probability of default

· Default status of the counterparty

· Date of the default status of the counterparty

Additional attributes for loans originated

after 1 September 2018

· Institutional sector

· Economic activity

· Number of employees

· Balance sheet total

Additional attributes for loans originated

after 1 September 2018

· Currency

· Interest rate type

· Purpose

· Interest rate

· Accumulated impairment amount

Conclusion

AnaCredit will provide granular credit data that can be used in a flexible manner and will greatly support the performance of key central bank tasks of the ECB and NCBs of the ESCB. Be it monetary policy or financial stability surveillance, AnaCredit will enable on demand analyses that allow a better understanding of the monetary policy transmission channel and disclose the linkages and relationships inside the financial system. On that improved data basis, better conclusions can be drawn enhancing qualitative decision making and increasing the likelihood of choosing appropriate measures to crises, shocks or unwanted conditions.

The use of AnaCredit data, however, is not only limited to the ECB and NCBs of the ESCB, but the statistical legal framework facilitates that, in principle, also certain other institutions can gain data access.