The Federal Act on the Recovery and Resolution of Banks (“BaSAG”), as published in the Austrian Federal Law Gazette I No. 98/2014 has been in force since 01.01.2015. It transposes the EU Directive on the Recovery and Resolution of Credit Institutions and Investment Firms (“BRRD”) in Austria, in which Directive assent has been given by Europe for new rules for the resolution of banks (the European bank resolution regime). It was an important aim of the European Union to relieve pressure on public budgets and consequently also taxpayers resulting from the costs of the resolution of a bank.
In accordance with BaSAG, the Austrian Financial Market Authority (FMA) assumed the function of the national resolution authority on 1 January 2015.
The accompanying edict in accordance with BaSAG was published immediately on the FMA website, in the FMA’s capacity as the designated resolution authority.(in German only).