Cross border resolution issues for systemic institutions: what are the main remaining challenges, what possible path to address them?

Solutions are suggested to reduce each of them: credible and relevant resolution scenarios for operational resolution plans and credible guarantees to reduce economic and prudential frictions. Legal frictions could be reduced by implementing contractual or statutory recognition of rights of EU authorities in third countries and resolution actions of third country entities with subsidiaries or significant branches. Then, by deepening the cooperation and exchange information within fora such as Crisis Management Groups (CMG) and EU resolution colleges, operational issues such as execution risk can be further understood and reduced. If this paper focuses on further EU resolution issues, its reasoning and conclusions should be considered in a broader way, and address cross border resolution issues for systemic institutions. __________________________________ (1) Paper prepared by Marion Zosi, Resolution Expert at ACPR, with advice by Ben KONARÉ deputy head of Resolution Department at ACPR (2) Panel interventions by Frédéric Visnovsky, Deputy Secretary General, Executive Director for Resolution, in Resolution Readiness Seminar set up by the Central Bank of Ireland (Monday 2 December 2019) and in the BPI-IIF Cross-Border Regulation & Resolution Colloquium New York (Monday 9 December 2019).