On 21 June 2024, the European Banking Authority (EBA) published its final report on the final draft Pillar 3 Implementing Technical Standards (ITS) with regard to public disclosures by institutions of the information referred to in Titles II and III of Part Eight of Regulation 575/2013/EU (CRR) as part of the implementation of the latest Basel III disclosure reforms in the new Banking Package. While the uniform formats for the disclosure requirements under Titles II and III of Part Eight of the CRR will continue to be specified in the ITS, they, as well as the instructions, will be made available on the EBA website in the form of IT solutions. The EBA also published the IT solutions in step 1, the IT solutions not changed in step 1, as well as an overview of the IT solutions (templates and instructions).

The ITS constitute the first Pillar 3 deliverable included in the December 2023 EBA Roadmap on strengthening the prudential framework, which indicates that the EBA will follow a two-step process, prioritising in step 1 those mandates and changes necessary to implement and monitor Basel III requirements in the EU. The ITS implement the CRR 3 prudential disclosures by including new requirements on output floor, credit risk, market risk, CVA risk, operational risk and a transitional disclosure on exposures to crypto-assets. The ITS also aim to provide institutions with a comprehensive integrated set of uniform disclosure formats, the aim being to promote market discipline, information consistency and comparability, as the ITS will ensure that market participants have sufficient comparable information to assess the risk profiles of institutions and understand compliance with CRR 3 requirements. The ITS are designed to repeal Commission Implementing Regulation 2021/637/EU laying down ITS with regard to public disclosures by institutions of the information referred to in Titles II and III of Part Eight of the CRR2 so as to make the technical standards more user-friendly for institutions.

In terms of next steps, the EBA will complement the ITS with the CRR 3 disclosure requirements that are not directly linked to Basel III implementation later in 2024, especially the extension of the disclosure requirements on environmental, social and governance (ESG) risks to all institutions in line with the proportionality principle, and new disclosure requirements on shadow banking. An updated mapping tool between the revised disclosure templates and the reporting templates is expected to be published at the beginning of July 2024, together with the new ITS on supervisory reporting for the CRR 3 implementation published for consultation, together with the present ITS, in December 2024. The EBA will also publish a technical package, including a Data Point Model (DPM), validation rules and taxonomy, which must be used by large and other institutions to submit this information to the EBA Pillar 3 data hub.