Organisational framework for resolution in Spain
At a national level, Law 11/2015* set up a new institutional framework in order to comply with the principles set out in the Resolution Directive to separate the supervisory and resolution functions.
The Spanish model distinguishes between two types of national resolution authorities: the
preventive resolution authorities, responsible for the preventive stage of the resolution, and the
executive resolution authority, responsible for the execution stage.
There are three national resolution authorities:
- Two
preventive resolution authorities that must exercise their tasks through bodies that are operationally independent from their supervisory functions: the
Bank of Spain, with regard to credit institutions and the
CNMV (Spanish Securities Market Regulator) for investment firms.
- And an
executive resolution authority, which is also the contact authority at an international level, whose functions are entrusted to
FROB.
(*) Law 11/2015 applies not only to credit institutions but also to investment firms. However, those whose legally required minimum share capital is lower than 730,000 euros or whose activity meets another series of characteristics are exempt.
