Regulation (EU) 2025/1355 of the European Central Bank (ECB) adopted on 2 July has been published in the Official Journal of the European Union. This Regulation recasts and replaces Regulation (EU) No 795/2014, updating the oversight framework for systemically important payment systems (SIPS) in the euro area. It strengthens the ECB's supervisory role by aligning it with international standards, particularly the CPMI-IOSCO Principles for Financial Market Infrastructures. The Regulation applies to both large-value and retail payment systems, operated by either central banks or private entities. However, Eurosystem-operated SIPS are exempt from certain requirements (such as those relating to governance, wind-down planning, capital and liquidity buffers, collateral, and investment risks) where equivalent internal ECB rules already apply.
Key updates include:
- Expanded definition of SIPS operators, allowing for the designation of euro area branches of non-euro area entities under specific conditions.
- Clearer defined criteria for identifying SIPS, based on size, interconnectedness and substitutability.
- Enhanced risk management requirements, covering governance, operational resilience and liquidity risk.
- Provisions addressing digitalisation and cybersecurity threats, including mandatory cyber resilience frameworks and penetration testing.
This Regulation shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union, being 3 August.
[View source.]
