Authorisation to breach large exposures requirements in the context of IGFS

Article 396 Regulation (EU) No 575/2013 (CRR) does not entitle the competent authority to authorise a breach of the requirements under Article 395 (1) CRR; however Article 23 (1) (h) Directive 2014/59/EU (BRRD)  contains such power. Within its scope of application, intragroup financial support in an early intervention scenario, this special provision therefore takes precedence over the provisions of the CRR (lex specialis). The same is true for authorisations to deviate from capital or liquidity requirements under Article 23 (1) (g) BRRD. Disclaimer: This question goes beyond matters of consistent and effective application of the regulatory framework. A Directorate General of the Commission (Directorate General Financial Stability, Financial Services and Capital Markets Union) has prepared the answer, albeit that only the Court of Justice of the European Union can provide definitive interpretations of EU legislation. This is an unofficial opinion of that Directorate General, which the European Banking Authority publishes on its behalf. The answers are not binding on the European Commission as an institution. You should be aware that the European Commission could adopt a position different from the one expressed in such Q&As, for instance in infringement proceedings or after a detailed examination of a specific case or on the basis of any new legal or factual elements that may have been brought to its attention.