Eligible liabilities for the purpose of MREL

Liabilities which can by bailed in in resolution are referred to as 'eligible liabilities' and are defined in Article 2(71) of Directive 2014/59/EU (BRRD). In order for “eligible liabilities” to be qualifying for the purpose of complying with MREL, they need to meet a set of additional criteria set out in Article 45(4) of BRRD. Hence, a broader pool of liabilities than those which are eligible for MREL could be bailed in in resolution. 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.