Capital Requirements Regulation & Directive (CRR / CRD): Overview, Scope & Reporting Requirements

Overview

The Capital Requirements Regulation (CRR) and Capital Requirements Directive (CRD) form the core prudential framework governing credit institutions and certain investment firms in the European Union.

The CRR sets out directly applicable quantitative requirements, including own funds, capital ratios, leverage, and liquidity metrics. The CRD complements the regulation by establishing governance, supervisory review, and capital buffer requirements, which are transposed into national law.

Together, CRR and CRD aim to strengthen the resilience, stability, and risk management of the EU banking sector and ensure consistent prudential supervision across Member States.

Legal Context

The CRR / CRD framework is developed at EU level and is overseen by the European Banking Authority (EBA), which is responsible for issuing:

• Regulatory Technical Standards (RTS)

• Implementing Technical Standards (ITS)

• Supervisory reporting taxonomies

Supervision and enforcement are carried out by national competent authorities, with significant institutions subject to direct supervision under the Single Supervisory Mechanism (SSM) led by the European Central Bank (ECB).

In the United Kingdom, similar prudential requirements are overseen by the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA).

Applicability

The CRR / CRD framework applies primarily to:

• Credit institutions (banks)

• Systemically important institutions

• Certain investment firms (where applicable)

• Banking groups on a consolidated basis

The framework includes proportionality mechanisms, but applies broadly across institutions operating within the EU financial system.

Obligations

CRR / CRD introduce a comprehensive set of prudential obligations, including:

• Own funds and capital adequacy requirements

• Risk-weighted assets (RWA) calculations

• Leverage ratio requirements

• Liquidity Coverage Ratio (LCR)

• Net Stable Funding Ratio (NSFR)

• Large exposures and concentration risk

• Capital buffers and supervisory review (CRD)

These obligations are supported by detailed EBA standards to ensure consistency in measurement and reporting.

Reporting

Institutions subject to CRR / CRD must submit regular supervisory reports to their competent authorities, including:

• COREP (Common Reporting)

• FINREP (Financial Reporting)

• Liquidity and leverage disclosures

• Group-level and consolidated reporting

All supervisory reporting is required to be submitted in EBA-defined XBRL formats, using official taxonomies and validation rules.

Accurate, timely, and auditable reporting is a core supervisory expectation under the framework.

Reporting

Institutions commonly face challenges such as:

• Complex capital and RWA calculations

• Multiple reporting templates and frequencies

• Frequent EBA taxonomy updates

• Manual XBRL preparation and validation

• Limited transparency and auditability of reported data

These challenges increase operational cost and supervisory risk.

REGREP Solution

REGREP supports CRR / CRD as a regulatory reporting infrastructure, enabling institutions to operationalise EBA supervisory reporting requirements.

REGREP provides:

• Structured ingestion of prudential and financial data

• Calculation support aligned with EBA reporting logic

• Automated generation of EBA-compliant XBRL reports (COREP, FINREP, ALM, FRTB, LCR, LE, LR, NSFR, OF)

• Built-in taxonomy management and validation handling

• Audit-ready reporting outputs

• API-first integration with finance, risk, and data platforms

REGREP supports the technical preparation and submission of CRR / CRD reports and does not replace internal governance, risk ownership, or supervisory responsibility.

• European Banking Authority (EBA)

• European Central Bank (ECB / SSM)
• Prudential Regulation Authority (PRA)

• Financial Conduct Authority (FCA)

Links are provided for reference purposes only. REGREP is not affiliated with or endorsed by any regulatory authority.

• EBA XBRL Reporting
• IFR / IFD – Investment Firms Regulation & Directive

• Regulatory reporting infrastructure for banks