### where the delegated acts adopted pursuant to articles 10(3) , 11(3) , 12(2) , 13(2) , 14(2) or 15(2) of regulation (eu) 2020/852 are amended following the creation of the debt referred to in the first subparagraph , the issuer shall allocate bond proceeds to the debt referred to in the first subparagraph by applying the amended delegated acts within five years after their entry into application. ### where the delegated acts adopted pursuant to articles 10(3) , 11(3) , 12(2) , 13(2) , 14(2) or 15(2) of regulation (eu) 2020/852 are amended following the creation of the debt referred to in the first subparagraph , the issuer shall allocate bond proceeds to the debt referred to in the first subparagraph by applying the amended delegated acts within 10 years after their entry into application.


### 1. prior to issuing a european green bond , issuers shall: ### 1. prior to issuing a verified green bond , issuers shall:


### ensure that the completed european green factsheet has been subject to a pre-issuance review with a positive opinion by an external reviewer. ### ensure that the completed european green factsheet has been subject to a pre-issuance review with a positive opinion by an external reviewer , duly registered with esma pursuant to this regulation.


### ensure that the completed european green factsheet has been subject to a pre-issuance review with a positive opinion by an external reviewer. ### ensure that the completed verified green bond factsheet has been subject to a pre-issuance review with a positive opinion by an external reviewer.


### ensure that the completed european green factsheet has been subject to a pre-issuance review with a positive opinion by an external reviewer. ### ensure that the completed european green factsheet has been subject to a pre-issuance review with a positive opinion by an external reviewer , duly registered with esma according to this regulation.


### 2. a european green bond factsheet may relate to one or several european green bond issuances. ### 2. a verified green bond factsheet may relate to one or several verified green bond issuances.


### 1. every year and until the full allocation of the proceeds of the european green bond concerned , issuers of european green bonds shall draw up a european green bond allocation report by using the template laid down in annex ii , demonstrating that the proceeds of any european green bonds concerned from their issuance date and until the end of the year the report refers to have been allocated in accordance with articles 4 to 7. ### 1. every year and until the full allocation of the proceeds of the verified green bond concerned , issuers of verified green bonds shall draw up a verified green bond allocation report by using the template laid down in annex ii , demonstrating that the proceeds of any verified green bonds concerned from their issuance date and until the end of the year the report refers to have been allocated in accordance with articles 4 to 7. the same rules shall apply in cases where a verified green bond includes a taxonomy alignment plan.


### 2. a european green bond allocation report may relate to one or several issuances of european green bonds. ### 2. a verified green bond allocation report may relate to one or several issuances of verified green bonds.


### 3. issuers of european green bonds shall obtain a post-issuance review by an external reviewer of the allocation report drawn up after the full allocation of the proceeds of the european green bond in accordance with articles 4 to 7. ### 3. issuers of european green bonds shall obtain a post-issuance review by an external reviewer of the allocation report drawn up after the full allocation of the proceeds of the european green bond in accordance with articles 4 to 7. that external reviewer shall be registered with esma.


### 3. issuers of european green bonds shall obtain a post-issuance review by an external reviewer of the allocation report drawn up after the full allocation of the proceeds of the european green bond in accordance with articles 4 to 7. ### 3. issuers of verified green bonds shall obtain a post-issuance review by an external reviewer of the allocation report drawn up after the full allocation of the proceeds of the verified green bond in accordance with articles 4 to 7. the same rules shall apply if a verified green bond includes a taxonomy alignment plan.


### 3. issuers of european green bonds shall obtain a post-issuance review by an external reviewer of the allocation report drawn up after the full allocation of the proceeds of the european green bond in accordance with articles 4 to 7. ### 3. issuers of european green bonds shall obtain a post-issuance review by an external reviewer of the allocation report drawn up after the full allocation of the proceeds of the european green bond in accordance with articles 4 to 7. this external reviewer must be registered with esma.


### 4. where , following the publication of the allocation report in accordance with article 13(1) , point (c) , the allocation of proceeds is corrected , issuers of the european green bonds concerned shall amend the allocation report and obtain a post-issuance review by an external reviewer of that amended allocation report. ### 4. where , following the publication of the allocation report in accordance with article 13(1) , point (c) , the allocation of proceeds is corrected , issuers of the european green bonds concerned shall amend the allocation report and obtain a post-issuance review by an external reviewer of that amended allocation report. that external reviewer shall be registered with esma.


### 4. where , following the publication of the allocation report in accordance with article 13(1) , point (c) , the allocation of proceeds is corrected , issuers of the european green bonds concerned shall amend the allocation report and obtain a post-issuance review by an external reviewer of that amended allocation report. ### 4. where , following the publication of the allocation report in accordance with article 13(1) , point (c) , the allocation of proceeds is corrected , issuers of the verified green bonds concerned shall amend the allocation report and obtain a post-issuance review by an external reviewer of that amended allocation report.


### 4. where , following the publication of the allocation report in accordance with article 13(1) , point (c) , the allocation of proceeds is corrected , issuers of the european green bonds concerned shall amend the allocation report and obtain a post-issuance review by an external reviewer of that amended allocation report. ### 4. where , following the publication of the allocation report in accordance with article 13(1) , point (c) , the allocation of proceeds is corrected , issuers of the european green bonds concerned shall amend the allocation report and obtain a post-issuance review by an external reviewer of that amended allocation report. this external reviewer must be registered with esma.


### 5. by way of derogation from paragraph 3 , every allocation report from issuers that are financial undertakings that allocate proceeds from a portfolio of several european green bonds to a portfolio of financial assets as referred to in article 5 shall be subject to a post-issuance review by an external reviewer. the external reviewer shall pay particular attention to those financial assets that were not included in any previously published allocation report. ### 5. by way of derogation from paragraph 3 , every allocation report from issuers that are financial undertakings that allocate proceeds from a portfolio of several european green bonds to a portfolio of financial assets as referred to in article 5 shall be subject to a post-issuance review by an external reviewer. the external reviewer , duly registered with esma , shall pay particular attention to those financial assets that were not included in any previously published allocation report.


### 5. by way of derogation from paragraph 3 , every allocation report from issuers that are financial undertakings that allocate proceeds from a portfolio of several european green bonds to a portfolio of financial assets as referred to in article 5 shall be subject to a post-issuance review by an external reviewer. the external reviewer shall pay particular attention to those financial assets that were not included in any previously published allocation report. ### 5. by way of derogation from paragraph 3 , every allocation report from issuers that are financial undertakings that allocate proceeds from a portfolio of several verified green bonds to a portfolio of financial assets as referred to in article 5 shall be subject to a post-issuance review by an external reviewer. the external reviewer shall pay particular attention to those financial assets that were not included in any previously published allocation report.


### 6. issuers of european green bonds shall provide the allocation reports referred to in paragraph 3 , 4 , and 5 to an external reviewer within 30 days following the end of the year to which the allocation reports refer. the post-issuance review must be made public within 90 days following the receipt of the allocation report. ### 6. issuers of european green bonds shall provide the allocation reports referred to in paragraph 3 , 4 , and 5 to an external reviewer and shall make the post-issuance review public within 120 days following the end of the year to which the allocation reports refer.


### 6. issuers of european green bonds shall provide the allocation reports referred to in paragraph 3 , 4 , and 5 to an external reviewer within 30 days following the end of the year to which the allocation reports refer. the post-issuance review must be made public within 90 days following the receipt of the allocation report. ### 6. issuers of verified green bonds shall provide the allocation reports referred to in paragraph 3 , 4 , and 5 to an external reviewer within 30 days following the end of the year to which the allocation reports refer. the post-issuance review must be made public within 90 days following the receipt of the allocation report.


### 6. issuers of european green bonds shall provide the allocation reports referred to in paragraph 3 , 4 , and 5 to an external reviewer within 30 days following the end of the year to which the allocation reports refer. the post-issuance review must be made public within 90 days following the receipt of the allocation report. ### 6. issuers of european green bonds shall provide the allocation reports referred to in paragraph 3 , 4 , and 5 to an external reviewer within six months following the end of the year to which the allocation reports refer. the post-issuance review must be made public within 90 days following the receipt of the allocation report.


### 6. issuers of european green bonds shall provide the allocation reports referred to in paragraph 3 , 4 , and 5 to an external reviewer within 30 days following the end of the year to which the allocation reports refer. the post-issuance review must be made public within 90 days following the receipt of the allocation report. ### 6. issuers of european green bonds shall provide the allocation reports referred to in paragraph 3 , 4 , and 5 to an external reviewer and have the post-issuance review made public within 120 days following the end of the year to which the allocation reports refer.


### 6. issuers of european green bonds shall provide the allocation reports referred to in paragraph 3 , 4 , and 5 to an external reviewer within 30 days following the end of the year to which the allocation reports refer. the post-issuance review must be made public within 90 days following the receipt of the allocation report. ### 6. issuers of european green bonds shall provide the allocation reports referred to in paragraph 3 , 4 , and 5 to an external reviewer within 45 days following the end of the year to which the allocation reports refer. the post-issuance review must be made public within 90 days following the receipt of the allocation report.


### an assessment of whether the issuer has allocated the proceeds of the bond in compliance with articles 4 to 7 based on the information provided to the external reviewer; ### an assessment of whether the issuer has allocated the proceeds of the bond in alignment with articles 4 to 7 based on the information provided to the external reviewer;


### an assessment of whether the issuer has complied with the intended use of proceeds set out in the green bond factsheet based on the information provided to the external reviewer; ### an assessment of whether the issuer has aligned with the intended use of proceeds set out in the green bond factsheet based on the information provided to the external reviewer;


### an assessment of whether the issuer has complied with the intended use of proceeds set out in the green bond factsheet based on the information provided to the external reviewer; ### an assessment of whether the issuer has complied with the intended use of proceeds set out in the verified bond factsheet based on the information provided to the external reviewer;


### 8. where bond proceeds are allocated to tax relief as referred to in article 4(2) , point (c) or subsidies as referred to in article 4(2) , point (d) , the post-issuance review shall only assess compliance with articles 4 to 7 of the terms and conditions under which those expenditures or transfers have been disbursed. ### 8. where bond proceeds are allocated to tax relief as referred to in article 4(2) , point (c) or subsidies as referred to in article 4(2) , point (d) , the post-issuance review shall only assess the extent to which the issuer has aligned with articles 4 to 7 of the terms and conditions under which those expenditures or transfers have been disbursed , based on the information provided to the external reviewer.


### 1. issuers of european green bonds shall , after the full allocation of the proceeds of such bonds and at least once during the lifetime of the bond , draw up a european green bond impact report on the environmental impact of the use of the bond proceeds by using the template laid down in annex iii. ### 1. issuers of european green bonds shall , after the full allocation of the proceeds of such bonds and at least every five years until the maturity of the bond , draw up a european green bond impact report on the environmental impact of the use of the bond proceeds by using the template laid down in annex iii. that report shall be subject to scrutiny by external reviewers.


### 1. issuers of european green bonds shall , after the full allocation of the proceeds of such bonds and at least once during the lifetime of the bond , draw up a european green bond impact report on the environmental impact of the use of the bond proceeds by using the template laid down in annex iii. ### 1. issuers of verified green bonds shall , after the full allocation of the proceeds of such bonds and at least every five years until maturity of the bond , draw up a verified green bond impact report on the environmental impact of the use of the bond proceeds by using the template laid down in annex iii. that report shall be subject to scrutiny by external reviewers.


### 1. where a prospectus is to be published pursuant to regulation (eu) 2017/1129 , that prospectus shall clearly state , where required to provide information on the use of proceeds , that the european green bond is issued in accordance with this regulation. ### 1. where a prospectus is to be published pursuant to regulation (eu) 2017/1129 , that prospectus shall clearly state , where required to provide information on the use of proceeds , that the verified green bond is issued in accordance with this regulation.


### 1. issuers of european green bonds shall publish on their website , in a distinct section titled ‘european green bonds’ and make available free of charge until at least the maturity of the bonds concerned , all of the following: ### 1. issuers of european green bonds shall publish on their website , in a distinct and accessible section titled ‘european green bonds’ and make available free of charge until at least the maturity of the bonds concerned , all of the following:


### 1. issuers of european green bonds shall publish on their website , in a distinct section titled ‘european green bonds’ and make available free of charge until at least the maturity of the bonds concerned , all of the following: ### 1. issuers of verified green bonds shall publish on their website , in a distinct section titled ‘verified green bonds’ and make available free of charge until at least the maturity of the bonds concerned , all of the following:


### 1. issuers of european green bonds shall publish on their website , in a distinct section titled ‘european green bonds’ and make available free of charge until at least the maturity of the bonds concerned , all of the following: ### 1. issuers of european green bonds shall publish on their at least their own website and that of trading venues where the admission to trading is sought , in a distinct section titled ‘european green bonds’ and make available free of charge until at least the maturity of the bonds concerned , all of the following:


### the european green bond annual allocation reports referred to in article 9 , every year until the full allocation of the proceeds of the european green bond concerned , no later than three months following the end of the year it refers to; ### the european green bond annual allocation reports referred to in article 9 , every year until the full allocation of the proceeds of the european green bond concerned , without undue delay


### the european green bond annual allocation reports referred to in article 9 , every year until the full allocation of the proceeds of the european green bond concerned , no later than three months following the end of the year it refers to; ### the verified green bond annual allocation reports referred to in article 9 , every year until the full allocation of the proceeds of the european green bond concerned , no later than three months following the end of the year it refers to;


### the european green bond annual allocation reports referred to in article 9 , every year until the full allocation of the proceeds of the european green bond concerned , no later than three months following the end of the year it refers to; ### the european green bond annual allocation reports referred to in article 9 , every year until the full allocation of the proceeds of the european green bond concerned , without undue delay;


### 4. issuers of european green bonds shall notify the national competent authority referred to in article 36 of the publication of all the documents referred to in paragraph 1 without undue delay. ### 4. issuers of european green bonds shall notify the national competent authority referred to in article 36 of the publication of all the documents referred to in paragraph 1 within 30 days.


### 4. issuers of european green bonds shall notify the national competent authority referred to in article 36 of the publication of all the documents referred to in paragraph 1 without undue delay. ### 4. issuers of verified green bonds shall notify the national competent authority referred to in article 36 of the publication of all the documents referred to in paragraph 1 without undue delay.


### 5. issuers of european green bonds shall notify esma of the publication of all the documents referred to in paragraph 1 within 30 days. ### 5. issuers of verified green bonds shall notify esma of the publication of all the documents referred to in paragraph 1 within 30 days.


### i conditions for taking up activities as external reviewer for european green bonds ### conditions for taking up activities as external reviewer for verified green bonds


### 1. external reviewers for european green bonds shall , before taking up their activities , register with esma. ### 1. external reviewers for european green bonds shall , before taking up their activities , register with a recognised registration authority.


### 2. external reviewers registered with esma shall meet the conditions for registration laid down in article 15(2) at all times. ### 2. external reviewers registered with a recognised registration authority shall meet the conditions for registration laid down in article 15(2) at all times.


### the policies or procedures implemented by the applicant to identify , manage and disclose any conflicts of interests as referred to in article 27; ### the policies or procedures implemented by the applicant to identify and eliminate or manage and disclose in a transparent manner any actual or potential conflicts of interests as referred to in article 27;


### where applicable , documents and information related to any existing or planned outsourcing arrangements for activities of the external reviewer covered by this regulation , including information on entities assuming outsourcing functions; ### where applicable , documents and information related to any outsourcing arrangements for activities of the external reviewer covered by this regulation , including information on entities assuming outsourcing functions;


### (iv) is experienced in quality assurance , quality control , the performance of pre- and post-issuance reviews and financial services; ### (iv) is experienced in either quality assurance , quality control , the performance of pre- and post-issuance reviews , the provision of second party alignment opinions , or financial services;


### 3. esma shall assess whether the application is complete within 20 working days after its receipt. ### 3. esma shall assess whether the application is complete within 15 working days after its receipt.


### where the application is not complete , esma shall notify the applicant thereof and set a deadline by which the applicant is to provide additional information. ### where the application is not complete , esma shall notify the applicant thereof and set a deadline by which the applicant is to provide additional information , without undue delay.


### where the application is complete , esma shall notify the applicant thereof. ### where the application is complete , esma shall notify the applicant thereof , without undue delay.


### esma shall notify in writing an applicant of his or her registration as an external reviewer , or of its refusal to register an applicant. the decision to register or the refusal to register shall provide reasons and take effect on the fifth working day following its adoption. ### esma shall notify in writing an applicant , without undue delay , of his or her registration as an external reviewer , or of its refusal to register an applicant. the decision to register or the refusal to register shall provide reasons and take effect on the fifth working day following its adoption.


### 1. an external reviewer shall notify esma of any material changes in the information provided in accordance with article 15(1) or in the facts concerning the information referred to in article 15(1) before such changes are implemented ### 1. an external reviewer shall notify esma of any material changes in the information provided in accordance with article 15(1) or in the facts concerning the information referred to in article 15(1) before such changes are implemented and without undue delay


### an external reviewer shall notify esma of any material changes in the information provided in accordance with article 15(1) or in the facts concerning the information referred to in article 15(1) before such changes are implemented ### an external reviewer shall notify esma of any material changes in the information provided in accordance with article 15(1) or in the facts concerning the information referred to in article 15(1) before such changes are implemented and without undue delay.


### esma shall analyse those material changes. where esma objects to such material changes , it shall inform the external reviewer within two months of the notification of those changes and shall state the reasons for the objection. the changes referred to in the first subparagraph may only be implemented provided that esma does not object to those changes within that period. ### esma shall analyse those material changes. where esma objects to such material changes , it shall inform the external reviewer within 45 working days of the notification of those changes and shall state the reasons for the objection. the changes referred to in the first subparagraph may only be implemented provided that esma does not object to those changes within that period.


### that conflicts of interest are properly identified , managed and disclosed; ### that any actual or potential conflicts of interest are properly identified and eliminated or , managed and disclosed in a transparent manner;


### that conflicts of interest are properly identified , managed and disclosed; ### that any actual or potential conflicts of interest are properly identified and eliminated or managed and disclosed in a transparent manner;


### 2. external reviewers shall not outsource their compliance function. ### deleted


### 3. external reviewers shall notify esma about those of its assessment activities which are to be outsourced , including a specification of the level of human and technical resources needed to carry out each of those activities. ### deleted


### 1. external reviewers shall identify , eliminate , manage and disclose in a transparent manner any actual or potential conflicts of interest , irrespective of whether that conflict of interest concerns their analysts or employees , any person that is contractually related to the external reviewers and that is directly involved in assessment activities , or persons approving pre-issuance reviews and post-issuance reviews. ### 1. external reviewers shall identify , eliminate or manage and disclose in a transparent manner any actual or potential conflicts of interest , irrespective of whether that conflict of interest concerns their analysts or employees , any person that is contractually related to the external reviewers and that is directly involved in assessment activities , or persons approving pre-issuance reviews and post-issuance reviews.


### 1. external reviewers shall publish and make available free of charge on their websites all of the following: ### 1. external reviewers shall publish and make available free of charge on their websites and on the relevant trading venue all of the following:


### 1. a third-country external reviewer may provide its services in accordance with this regulation to issuers that issue european green bonds where that third-country external reviewer is registered in the register of third-country external reviewers kept by esma in accordance with article 59. ### 1. a third-country external reviewer may provide its services in accordance with this regulation to issuers that issue verified green bonds where that third-country external reviewer is registered in the register of third-country external reviewers kept by esma in accordance with article 59.


### 7. within 20 working days of receipt of the application , esma shall assess whether the application is complete. where the application is not complete , esma shall set a deadline by which the applicant third-country external reviewer is to provide additional information. ### 7. within 20 working days of receipt of the application , esma shall assess whether the application is complete. where the application is not complete , esma shall set a deadline , without undue delay , by which the applicant third-country external reviewer is to provide additional information.


### esma shall notify an applicant of its recognition as a third country external reviewer or of its refusal. the decision to recognise or the refusal to recognise shall provide reasons and take effect on the fifth working day following its adoption. ### esma shall notify an applicant , without undue delay , of its recognition as a third country external reviewer or of its refusal. the decision to recognise or the refusal to recognise shall provide reasons and take effect on the fifth working day following its adoption.


### 3. member states shall ensure that appropriate measures are in place so that competent authorities have all the supervisory and investigatory powers that are necessary to fulfil their duties. ### 3. member states shall ensure that appropriate measures are in place so that competent authorities have all the supervisory and investigatory powers , as the adequate resources , that are necessary to fulfil their duties.


### 4. competent authorities shall ensure that any publication in accordance with this article shall remain on their official website for a period of at least five years after its publication. personal data contained in the publication shall be kept on the official website of the competent authority only for the period which is necessary in accordance with the applicable data protection rules. ### 4. competent authorities shall ensure that any publication in accordance with this article shall remain on their official website for a period of at least five years after its publication. personal data contained in the publication shall be limited to the essential data regarding the specific case and shall be kept on the official website of the competent authority only for the period which is necessary in accordance with the applicable data protection rules.


### 4. competent authorities shall ensure that any publication in accordance with this article shall remain on their official website for a period of at least five years after its publication. personal data contained in the publication shall be kept on the official website of the competent authority only for the period which is necessary in accordance with the applicable data protection rules. ### 4. competent authorities shall ensure that any publication in accordance with this article shall remain on their official website for a period of five years after its publication. personal data contained in the publication , that must be limited to the essential data regarding the specific case , shall be kept on the official website of the competent authority only for the period which is necessary in accordance with the applicable data protection rules.


### set a time-limit within which the information is to be provided; ### set a reasonable time-limit within which the information is to be provided;


### this regulation shall enter into force on the twentieth day following that of its publication in the official journal of the european union. ### this regulation shall enter into force one year following its publication in the official journal of the european union.


### this regulation shall enter into force on the twentieth day following that of its publication in the official journal of the european union. ### this regulation shall enter into force one year after its publication in the official journal of the european union.


### this regulation shall enter into force on the twentieth day following that of its publication in the official journal of the european union. ### this regulation shall enter into force on the twentieth day following that of its publication in the official journal of the european union. it shall apply from ... [one year after the date of entry into force of this regulation].


### proposal for a ### proposal for a


### (9) the proceeds of european green bonds should be used to finance economic activities that have a lasting positive impact on the environment. such lasting positive impact can be attained in several ways. since fixed assets are long-term assets , a first way is to use the proceeds of such european green bonds to finance fixed tangible or fixed intangible assets that are not financial assets , provided that those fixed assets relate to economic activities that meet the requirements for environmentally sustainable economic activities set out in article 3 of regulation (eu) 2020/852 (‘taxonomy requirements’). since financial assets can be used to finance economic activities with a lasting positive impact on the environment , a second way is to use those proceeds to finance financial assets , provided that the proceeds from those financial assets are allocated to economic activities that meet the taxonomy requirements. since the assets of households can also have a long-term positive impact on the environment , those financial assets should also include the assets of households. since capital expenditure and selected operating expenditure can be used to acquire , upgrade , or maintain fixed assets , a third way is to use the proceeds of such bonds to finance capital and operating expenditures that relate to economic activities that meet the taxonomy requirements or that will meet those requirements within a reasonably short period from the issuance of the bond concerned , which can be extended however where duly justified by the specific features of the economic activities and investments concerned. for the reasons outlined above , the capital and operating expenditures should also include the expenditures of households. ### (9) the proceeds of verified green bonds should be used to finance economic activities that have a lasting positive impact on the environment. such lasting positive impact can be attained in several ways. since fixed assets are long-term assets , a first way is to use the proceeds of such verified green bonds to finance fixed tangible or fixed intangible assets that are not financial assets , provided that those fixed assets relate to economic activities that meet the requirements for environmentally sustainable economic activities set out in article 3 of regulation (eu) 2020/852 (‘taxonomy requirements’). since financial assets can be used to finance economic activities with a lasting positive impact on the environment , a second way is to use those proceeds to finance financial assets , provided that the proceeds from those financial assets are allocated to economic activities that meet the taxonomy requirements. since the assets of households can also have a long-term positive impact on the environment , those financial assets should also include the assets of households. since capital expenditure and selected operating expenditure can be used to acquire , upgrade , or maintain fixed assets , a third way is to use the proceeds of such bonds to finance capital and operating expenditures that relate to economic activities that meet the taxonomy requirements or that will meet those requirements within a reasonably short period from the issuance of the bond concerned , which can be extended however where duly justified by the specific features of the economic activities and investments concerned. for the reasons outlined above , the capital and operating expenditures should also include the expenditures of households.


### (17) certain financial undertakings that have a portfolio of european green bonds may not be able to identify , for each european green bond , the distinct financial assets to which the proceeds of said bond have been allocated. this is due to a mismatch between , on the one hand , the time to maturity and the volume of funding of those bonds , and on the other hand the time to maturity and volume of the financial assets on the balance sheet of the financial undertaking. financial undertakings should in such cases be required to disclose the allocation of the aggregate proceeds of their portfolio of european green bonds to a portfolio of environmentally sustainable financial assets on the undertaking’s balance sheet. those financial undertakings should then demonstrate in annual allocation reports that the related environmentally sustainable financial assets complied with the taxonomy requirements at the time they were created. in order to ensure that all proceeds of european green bonds are allocated to environmentally sustainable economic activities , the financial undertakings should also demonstrate that the amount of those environmentally sustainable financial assets exceeds or equals the amount of european green bonds that have not yet matured. to ensure that the information provided remains complete and up to date , an external reviewer should review the annual allocation reports each year. that external reviewer should in particular focus on those financial assets that were not on the issuer’s balance sheet in the previous year’s allocation report. ### (17) certain financial undertakings that have a portfolio of verified green bonds may not be able to identify , for each verified green bond , the distinct financial assets to which the proceeds of said bond have been allocated. this is due to a mismatch between , on the one hand , the time to maturity and the volume of funding of those bonds , and on the other hand the time to maturity and volume of the financial assets on the balance sheet of the financial undertaking. financial undertakings should in such cases be required to disclose the allocation of the aggregate proceeds of their portfolio of european green bonds to a portfolio of environmentally sustainable financial assets on the undertaking’s balance sheet. those financial undertakings should then demonstrate in annual allocation reports that the related environmentally sustainable financial assets complied with the taxonomy requirements at the time they were created. in order to ensure that all proceeds of verified green bonds are allocated to environmentally sustainable economic activities , the financial undertakings should also demonstrate that the amount of those environmentally sustainable financial assets exceeds or equals the amount of verified green bonds that have not yet matured. to ensure that the information provided remains complete and up to date , an external reviewer should review the annual allocation reports each year. that external reviewer should in particular focus on those financial assets that were not on the issuer’s balance sheet in the previous year’s allocation report.


### (17) certain financial undertakings that have a portfolio of european green bonds may not be able to identify , for each european green bond , the distinct financial assets to which the proceeds of said bond have been allocated. this is due to a mismatch between , on the one hand , the time to maturity and the volume of funding of those bonds , and on the other hand the time to maturity and volume of the financial assets on the balance sheet of the financial undertaking. financial undertakings should in such cases be required to disclose the allocation of the aggregate proceeds of their portfolio of european green bonds to a portfolio of environmentally sustainable financial assets on the undertaking’s balance sheet. those financial undertakings should then demonstrate in annual allocation reports that the related environmentally sustainable financial assets complied with the taxonomy requirements at the time they were created. in order to ensure that all proceeds of european green bonds are allocated to environmentally sustainable economic activities , the financial undertakings should also demonstrate that the amount of those environmentally sustainable financial assets exceeds or equals the amount of european green bonds that have not yet matured. to ensure that the information provided remains complete and up to date , an external reviewer should review the annual allocation reports each year. that external reviewer should in particular focus on those financial assets that were not on the issuer’s balance sheet in the previous year’s allocation report. ### (17) certain financial undertakings that have a portfolio of european green bonds may not be able to identify , for each european green bond , the distinct financial assets to which the proceeds of said bond have been allocated. this is due to a mismatch between , on the one hand , the time to maturity and the volume of funding of those bonds , and on the other hand the time to maturity and volume of the financial assets on the balance sheet of the financial undertaking. financial undertakings should in such cases be required to disclose the allocation of the aggregate proceeds of their portfolio of european green bonds to a portfolio of environmentally sustainable financial assets on the undertaking’s balance sheet. those financial undertakings should then demonstrate in annual allocation reports that the related environmentally sustainable financial assets complied with the taxonomy requirements at the time they were created. in order to ensure that all proceeds of european green bonds are allocated to environmentally sustainable economic activities , the financial undertakings should also demonstrate that the amount of those environmentally sustainable financial assets exceeds or equals the amount of european green bonds that have not yet matured. to ensure that the information provided remains complete and up to date , an external reviewer should review the allocation reports regularly. that external reviewer should in particular focus on those financial assets that were not on the issuer’s balance sheet in the previous allocation report.


### (19) state auditors , or any other public entity that is mandated by a sovereign to assess whether the proceeds of the european green bonds are indeed allocated to eligible fixed assets , expenditures and financial assets , are statutory entities with responsibility for and expertise in the oversight over public spending , and typically have legally guaranteed independence. sovereigns that issue european green bonds should therefore be allowed to make use of such state auditors or entities for the purposes of the external review of bonds issued by such sovereigns. such state auditors or entities should not be registered or supervised according to this regulation. ### (19) state auditors , or any other public entity that is mandated by a sovereign to assess whether the proceeds of the verified green bonds are indeed allocated to eligible fixed assets , expenditures and financial assets , are statutory entities with responsibility for and expertise in the oversight over public spending , and typically have legally guaranteed independence. sovereigns that issue verified green bonds should therefore be allowed to make use of such state auditors or entities for the purposes of the external review of bonds issued by such sovereigns. such state auditors or entities should not be registered or supervised according to this regulation.


### (36) in order to encourage external reviewers to provide their services to the issuers of european green bonds as of the entry into application of this regulation , this regulation sets out a transitional regime for the first 30 months following the entry into force of this regulation. ### (36) in order to encourage external reviewers to provide their services to the issuers of verified green bonds as of the entry into application of this regulation , this regulation sets out a transitional regime for the first 30 months following the entry into force of this regulation.


### ii conditions for the use of the designation ‘european green bond’ or ‘eugb’ ### conditions for the use of the designation ‘verified green bond’ or ‘vgb’


### use of the proceeds of european green bonds ### use of the proceeds of verified green bonds


### 1. before maturity of the bond , the proceeds of european green bonds shall be exclusively and fully allocated , without deducting costs , to the following , or a combination thereof: ### 1. before maturity of the bond , the proceeds of verified green bonds shall be exclusively and fully allocated , to the following , or a combination thereof:


### operating expenditures that were incurred more recently than three years prior to the issuance of the european green bond; ### operating expenditures that were incurred more recently than three years prior to the issuance of the verified green bond;


### 2. by way of derogation from paragraph 1 , a sovereign may also allocate the proceeds of european green bonds it has issued to the following , or any combination thereof: ### 2. by way of derogation from paragraph 1 , a sovereign may also allocate the proceeds of verified green bonds it has issued to the following , or any combination thereof:


### 2. where proceeds from a european green bond are allocated by means of financial assets either to capital expenditures as referred to in article 4(1) , point (b) , or to operating expenditures as referred to in article 4(1) , point (c) , the defined period of time referred to in paragraph 1 , first subparagraph , shall start from the moment of the creation of the financial asset. ### 2. where proceeds from a verified green bond are allocated by means of financial assets either to capital expenditures as referred to in article 4(1) , point (b) , or to operating expenditures as referred to in article 4(1) , point (c) , the defined period of time referred to in paragraph 1 , first subparagraph , shall start from the moment of the creation of the financial asset.


### european green bond factsheet and pre-issuance review of the european green bond factsheet ### verified green bond factsheet and pre-issuance review of the verified green bond factsheet


### complete the european green bond factsheet laid down in annex i; ### complete the verified green bond factsheet laid down in annex i;


### european green bond impact report ### verified green bond impact report


### 2. a single impact report may cover several issuances of european green bonds. ### 2. a single impact report may cover several issuances of verified green bonds.


### prospectus for european green bonds ### prospectus for verified green bonds


### 2. for the purposes of article 19(1) , point (c) , of regulation (eu) 2017/1129 , ‘regulated information’ shall include the information contained in the european green bond factsheet referred to in article 8(1) , point (a) of this regulation. ### 2. for the purposes of article 19(1) , point (c) , of regulation (eu) 2017/1129 , ‘regulated information’ shall include the information contained in the verified green bond factsheet referred to in article 8(1) , point (a) of this regulation.


### the completed european green bond factsheet referred to in article 8 , before the issuance of the bond; ### the completed verified green bond factsheet referred to in article 8 , before the issuance of the bond;


### the pre-issuance review related to the european green bond factsheet referred to in article 8 , before the issuance of the bond; ### the pre-issuance review related to the verified green bond factsheet referred to in article 8 , before the issuance of the bond;


### the post-issuance reviews of the european green bond allocation reports referred to in article 9; ### the post-issuance reviews of the verified green bond allocation reports referred to in article 9;


### the european green bond impact report referred to in article 10. ### the verified green bond impact report referred to in article 10.


### where the european green bonds are offered to the public or are listed on a market in only one member state , in a language accepted by the competent authority , as referred to in article 36 of this regulation , of that member state; ### where the verified green bonds are offered to the public or are listed on a market in only one member state , in a language accepted by the competent authority , as referred to in article 36 of this regulation , of that member state;


### where the european green bonds are offered to the public or are listed on a market in two or more member states , either in a language accepted by the competent authority , as referred to in article 37 of this regulation , of each member state , or in a language customary in the sphere of international finance , at the choice of the issuer. ### where the verified green bonds are offered to the public or are listed on a market in two or more member states , either in a language accepted by the competent authority , as referred to in article 37 of this regulation , of each member state , or in a language customary in the sphere of international finance , at the choice of the issuer.


### 3. by way of derogation from paragraph 2 , where a prospectus for the european green bond is to be published in accordance with regulation (eu) 2017/1129 , the information contained in the documents referred to in paragraph 1 , points (a) , (c) and (e) , shall be provided in the language or languages of that prospectus. ### 3. by way of derogation from paragraph 2 , where a prospectus for the verified green bond is to be published in accordance with regulation (eu) 2017/1129 , the information contained in the documents referred to in paragraph 1 , points (a) , (c) and (e) , shall be provided in the language or languages of that prospectus.


### iii external reviewers for european green bonds ### external reviewers for verified green bonds


### application for registration as an external reviewer for european green bonds ### application for registration as an external reviewer for verified green bonds


### 1. an application for registration as an external reviewer for european green bonds shall contain all of the following information: ### 1. an application for registration as an external reviewer for verified green bonds shall contain all of the following information:


### is of sufficiently good repute; ### deleted


### 10. third-country external reviewers providing services in accordance with this article shall , before providing any service in relation to issuers of european green bonds established in the union , offer to submit any disputes relating to those services to the jurisdiction of a court or arbitral tribunal in a member state. ### 10. third-country external reviewers providing services in accordance with this article shall , before providing any service in relation to issuers of verified green bonds established in the union , offer to submit any disputes relating to those services to the jurisdiction of a court or arbitral tribunal in a member state.


### 4. a third-country external reviewer established in a country whose legal and supervisory framework has been recognised to be effectively equivalent in accordance with paragraph 1 , and which is registered in the register referred to in article 59 , shall be able to provide the services covered under the registration to issuers of european green bonds throughout the union. ### 4. a third-country external reviewer established in a country whose legal and supervisory framework has been recognised to be effectively equivalent in accordance with paragraph 1 , and which is registered in the register referred to in article 59 , shall be able to provide the services covered under the registration to issuers of verified green bonds throughout the union.


### to suspend an offer of european green bonds for a maximum of 10 consecutive working days on any single occasion where there are reasonable grounds for suspecting that articles 8 to 13 of this regulation have been infringed; ### to suspend an offer of verified green bonds for a maximum of 10 consecutive working days on any single occasion where there are reasonable grounds for suspecting that articles 8 to 13 of this regulation have been infringed;


### to prohibit or suspend advertisements or require issuers of european green bonds or financial intermediaries concerned to cease or suspend advertisements for a maximum of 10 consecutive working days on any single occasion where there are reasonable grounds for believing that articles 8 to 13 of this regulation have been infringed; ### to prohibit or suspend advertisements or require issuers of verified green bonds or financial intermediaries concerned to cease or suspend advertisements for a maximum of 10 consecutive working days on any single occasion where there are reasonable grounds for believing that articles 8 to 13 of this regulation have been infringed;


### to make public the fact that an issuer of european green bonds is failing to comply with its obligations under articles 8 to 13 of this regulation; ### to make public the fact that an issuer of verified green bonds is failing to comply with its obligations under articles 8 to 13 of this regulation;


### where , at the time of the creation of the debt referred to in the first subparagraph , no delegated acts adopted pursuant to articles 10(3) , 11(3) , 12(2) , 13(2) , 14(2) or 15(2) of regulation (eu) 2020/852 were in force , issuers shall apply the first delegated acts that were adopted pursuant to articles 10(3) , 11(3) , 12(2) , 13(2) , 14(2) or 15(2) of regulation (eu) 2020/852. ### deleted


### esma shall notify an applicant of its decision regarding endorsement referred to in paragraph 1. the decision shall provide reasons and take effect on the fifth working day following its adoption. ### esma shall notify an applicant , without undue delay , of its decision regarding endorsement referred to in paragraph 1. the decision shall provide reasons and take effect on the fifth working day following its adoption.


### (2) cross-border nature of crime and criminal proceeds endanger union financial system efforts relating to prevention of money laundering and financing of terrorism. those efforts have to be tackled at union level through the creation of an authority responsible for contributing to the implementation of harmonised rules. in addition , the authority should pursue a harmonised approach to strengthen the union’s existing aml/cft preventive framework , and specifically aml supervision and cooperation between fius. that approach should reduce divergences in national legislation and supervisory practices and introduce structures that benefit the smooth functioning of the internal market in a determined manner and should , consequently , be based on article 114 tfeu. ### (2) cross-border nature of crime and criminal proceeds endanger union financial system efforts relating to prevention of money laundering and financing of terrorism. those efforts have to be tackled at union level through the creation of an authority responsible for contributing to the implementation of harmonised rules. in addition , the authority should pursue a harmonised approach to strengthen the union’s existing aml/cft preventive framework , and specifically aml supervision and cooperation between fius. that approach should reduce divergences in national legislation and supervisory practices and introduce structures that benefit the smooth functioning of the internal market in a determined manner , strengthen the financial system at eu level with a view to tackling the money laundering/terrorist financing (ml/tf) risk originating from third countries and should , consequently , be based on article 114 tfeu.


### (2) cross-border nature of crime and criminal proceeds endanger union financial system efforts relating to prevention of money laundering and financing of terrorism. those efforts have to be tackled at union level through the creation of an authority responsible for contributing to the implementation of harmonised rules. in addition , the authority should pursue a harmonised approach to strengthen the union’s existing aml/cft preventive framework , and specifically aml supervision and cooperation between fius. that approach should reduce divergences in national legislation and supervisory practices and introduce structures that benefit the smooth functioning of the internal market in a determined manner and should , consequently , be based on article 114 tfeu. ### (2) cross-border nature of crime , especially organised crime , and criminal proceeds endanger union financial system efforts relating to prevention of money laundering and financing of terrorism and to countering organised crime. those efforts have to be tackled at union level through the creation of an authority responsible for contributing to the implementation of harmonised rules. in addition , the authority should pursue a harmonised approach to strengthen the union’s existing aml/cft preventive framework , and specifically aml supervision and cooperation between fius. that approach should reduce divergences in national legislation and supervisory practices and introduce structures that benefit the smooth functioning of the internal market in a determined manner and should , consequently , be based on article 114 tfeu.


### (6) combining both direct and indirect supervisory competences over obliged entities , and also functioning as a support and cooperation mechanism for fius , is the most appropriate means of bringing about supervision and cooperation between fius at union level. this should be achieved by creating an authority which should combine independence and a high level of technical expertise and which should be established in line with the joint statement and common approach of the european parliament , the council of the european union and the european commission on decentralised agencies32 . ### (6) combining both direct and indirect supervisory competences over obliged entities , and also functioning as a support and cooperation mechanism for fius , is the most appropriate means of bringing about supervision and cooperation between fius and other eu institutions , offices , bodies and agencies involved in the aml/cft framework at union level. this should be achieved by creating an authority which should combine independence and a high level of technical expertise and which should be established in line with the joint statement and common approach of the european parliament , the council of the european union and the european commission on decentralised agencies32 .


### (44) to ensure the independent functioning of the authority the five members of the executive board and the chair of the authority should act independently and in the interest of the union as a whole. they should behave , both during and after their term of office , with integrity and discretion as regards the acceptance of certain appointments or benefits. to avoid giving any impression that a member of the executive board might use its position as a member of the executive board of the authority to get a high-ranking appointment in the private sector after his term of office and to prevent any post-public employment conflicts of interests , a cooling-off period for the five members of the executive board , including the chair of the authority , should be introduced. ### (44) to ensure the independent functioning of the authority the five members of the executive board and the chair of the authority should act independently and in the interest of the union as a whole. they should behave , both during and after their term of office , with integrity and discretion as regards the acceptance of certain appointments or benefits. to avoid giving any impression that a member of the executive board might use its position as a member of the executive board of the authority to get a high-ranking appointment in the private sector after his term of office and to prevent any post-public employment conflicts of interests , a cooling-off period of at least three years for the five members of the executive board , including the chair of the authority , should be introduced.


### (48) to guarantee the proper functioning of the authority , funding should be provided by a combination of fees levied on certain obliged entities and a contribution from the union budget , depending on the tasks and functions. the budget of the authority should be part of the union budget , confirmed by the budgetary authority on the basis of a proposal from the commission. the authority should submit to the commission a draft budget and an internal financial regulation for approval. ### (48) to guarantee the proper functioning of the authority and to allow it to carry out all the tasks assigned to it under this regulation , the authority should be provided with adequate staffing and adequate financial resources; funding should be provided by a combination of fees levied on certain obliged entities and a contribution from the union budget , depending on the tasks and functions. the budget of the authority should be part of the union budget , confirmed by the budgetary authority on the basis of a proposal from the commission. the authority should submit to the commission a draft budget and an internal financial regulation for approval.


### (60) public-private partnerships (‘ppps’) have become increasingly important cooperation and information exchange fora between fius , various national supervisory and law enforcement authorities and obliged entities in some member states. where the authority would act as direct supervisor of selected obliged entities which are part of a ppp in any member state , it could be beneficial for the authority to also participate therein , on conditions determined by the relevant national public authority or authorities that set up such ppp , and with their explicit agreement. ### (60) public-private partnerships (‘ppps’) have become increasingly important cooperation and information exchange fora between fius , various national supervisory and law enforcement authorities and obliged entities in some member states and at eu and international levels. where the authority would act as direct supervisor of selected obliged entities which are part of a ppp in any member state , it could be beneficial for the authority to also participate therein , on conditions determined by the relevant national public authority or authorities that set up such ppp , and with their explicit agreement. the authority should also participate in partnerships established across multiple member states , such as the europol financial intelligence public private partnership (efippp).


### monitor and support the implementation of asset freezes under the union restrictive measures across the internal market; ### monitor and support the implementation of asset freezes , including virtual assets and cryptocurrencies , under the union restrictive measures across the internal market;


### 7. during a period of one year after ceasing to hold office , the former members of the executive board , including the chair of the authority , are prohibited from engaging in a gainful occupational activity with ### 7. during a period of three years after ceasing to hold office , the former members of the executive board , including the chair of the authority , are prohibited from engaging in a gainful occupational activity with


### 1. the chair of the authority shall be selected on the basis of merit , skills , knowledge , recognised standing and experience in the area of anti-money laundering and countering the financing of terrorism and other relevant qualification , following an open selection procedure which shall be published in the official journal of the european union. the commission shall draw up a shortlist of two qualified candidates for the position of the chair of the authority. the council , after approval by the european parliament , shall adopt an implementing decision to appoint the chair of the authority. ### 1. the chair of the authority shall be selected on the basis of merit , skills , knowledge , recognised standing and experience in the area of anti-money laundering and countering the financing of terrorism , high-level experience in international cooperation and other relevant qualification , following an open selection procedure which shall be published in the official journal of the european union. the commission shall draw up a shortlist of three qualified candidates for the position of the chair of the authority. the european parliament shall hear the candidates in front of its responsible committee(s). the council , after approval by the european parliament , shall adopt an implementing decision to appoint the chair of the authority.


### 3. on the occasion of every second evaluation , there shall be an assessment of the results achieved by the authority having regard to its objectives , mandate and tasks , including an assessment of whether the continuation of the authority is still justified with regard to these objectives , mandate and tasks. ### 3. on the occasion of every second evaluation , there shall be an assessment of the results achieved by the authority having regard to its objectives , mandate and tasks , including an assessment of whether the continuation of the authority is still justified with regard to these objectives , mandate and tasks. that assessment shall consider that the work carried out by the authority always involves national home affairs and judicial authorities , as well as several already existing eu agencies , and that therefore its performance depends on the effectiveness of the union aml/cft system as a whole;


### (8) the powers of the authority should allow it to improve aml/cft supervision in the union in various ways. with respect to selected obliged entities , the authority should ensure group-wide compliance with the requirements laid down in the aml/cft framework and any other legally binding union acts that impose aml/cft-related obligations on financial institutions. furthermore , the authority should carry out periodic reviews to ensure that all financial supervisors have adequate resources and powers necessary for the performance of their tasks. it should facilitate the functioning of the aml supervisory colleges and contribute to convergence of supervisory practices and promotion of high supervisory standards. with respect to non-financial supervisors , including self-regulatory bodies where appropriate , the authority should coordinate peer reviews of supervisory standards and practices and request non-financial supervisors to investigate possible breaches of aml/cft requirements. in addition , the authority should coordinate the conduct of joint analyses by fius and make available to fius it and artificial intelligence services and tools for secure information sharing , including through hosting of fiu.net. ### (8) the powers of the authority should allow it to improve aml/cft supervision in the union in various ways. with respect to selected obliged entities , the authority should ensure group-wide compliance with the requirements laid down in the aml/cft framework and any other legally binding union acts that impose aml/cft-related obligations on financial institutions. furthermore , the authority should carry out periodic reviews to ensure that all financial supervisors have adequate resources and powers necessary for the performance of their tasks. it should facilitate the functioning of the aml supervisory colleges and contribute to convergence of supervisory practices and promotion of high supervisory standards. with respect to non-financial supervisors , including self-regulatory bodies where appropriate , the authority should coordinate peer reviews of supervisory standards and practices and request non-financial supervisors to investigate possible breaches of aml/cft requirements. in addition , taking account of the input of other eu institutions , offices , bodies and agencies involved in the aml/cft framework , such as europol , the authority should coordinate the conduct of joint analyses by fius and make available to fius it and artificial intelligence services and tools for secure information sharing , including through hosting of fiu.net.


### (9) with the objective to strengthen aml/cft rules at union level and to enhance their clarity while ensuring consistency with international standards and other legislation , it is necessary to establish the coordinating role of the authority at union level in relation to all types of obliged entities to assist national supervisors and promote supervisory convergence , in order to increase the efficiency of the implementation of aml/cft measures , also in the non-financial sector. consequently , the authority should be mandated to prepare regulatory technical standards , to adopt guidelines , recommendations and opinions with the aim that where supervision remains at national level , the same supervisory practices and standards apply in principle to all comparable entities. the authority should be entrusted , due to its highly specialised expertise , with the development of a supervisory methodology , in line with a risk-based approach. certain aspects of the methodology , which can incorporate harmonised quantitative benchmarks , such as approaches for classifying the inherent risk profile of obliged entities should be detailed in directly applicable binding regulatory measures – regulatory or implementing technical standards. other aspects , which require wider supervisory discretion , such as approaches to assessing residual risk profile and internal controls in the obliged entities should be covered by non-binding guidelines , recommendations and opinions of the authority. the harmonised supervisory methodology should take due account of , and where appropriate , leverage the existing supervisory methodologies relating to other aspects of supervision of the financial sector obliged entities , especially where there is interaction between aml/cft supervision and prudential supervision. specifically , the supervisory methodology to be developed by the authority should be complementary to guidelines and other instruments developed by the european banking authority detailing approaches of prudential supervisory authorities with respect to factoring ml/tf risks in prudential supervision , in order to ensure effective interaction between prudential and aml/cft supervision. ### (9) with the objective to strengthen aml/cft rules at union level and to enhance their clarity while ensuring consistency with international standards and other legislation , it is necessary to establish the coordinating role of the authority at union level in relation to all types of obliged entities to assist national supervisors and promote supervisory convergence , in order to increase the efficiency of the implementation of aml/cft measures , also in the non-financial sector. the authority’s coordinating role is also necessary to ensure cohesion and avoid duplication of tasks with other eu institutions , offices , bodies and agencies involved in the aml/cft framework. consequently , the authority should be mandated to prepare regulatory technical standards , to adopt guidelines , recommendations and opinions with the aim that where supervision remains at national level , the same supervisory practices and standards apply in principle to all comparable entities. the authority should be entrusted , due to its highly specialised expertise , with the development of a supervisory methodology , in line with a risk-based approach. certain aspects of the methodology , which can incorporate harmonised quantitative benchmarks , such as approaches for classifying the inherent risk profile of obliged entities should be detailed in directly applicable binding regulatory measures – regulatory or implementing technical standards. other aspects , which require wider supervisory discretion , such as approaches to assessing residual risk profile and internal controls in the obliged entities should be covered by non-binding guidelines , recommendations and opinions of the authority. the harmonised supervisory methodology should take due account of , and where appropriate , leverage the existing supervisory methodologies relating to other aspects of supervision of the financial sector obliged entities , especially where there is interaction between aml/cft supervision and prudential supervision. specifically , the supervisory methodology to be developed by the authority should be complementary to guidelines and other instruments developed by the european banking authority detailing approaches of prudential supervisory authorities with respect to factoring ml/tf risks in prudential supervision , in order to ensure effective interaction between prudential and aml/cft supervision.


### (32) in order to analyse suspicious activity affecting multiple jurisdictions , the relevant fius that received linked reports should be able to efficiently conduct joint analyses of cases of common interest. to this end , the authority should be able to propose , coordinate and support with all appropriate means the joint analyses of cross-border suspicious transactions or activities. the joint analyses should be triggered where there is a need to conduct just such joint analyses pursuant to the relevant provisions in union law. upon the explicit consent of the fius participating in the joint analyses , the staff of the authority supporting the conduct of joint analyses should be able to receive and process all necessary data and information , including the data and information pertaining to the analysed cases. ### (32) in order to analyse suspicious activity affecting multiple jurisdictions , the relevant fius that received linked reports should be able to efficiently conduct joint analyses of cases of common interest. to this end , the authority should be able to propose , coordinate and support with all appropriate means the joint analyses of cross-border suspicious transactions or activities. the joint analyses should be triggered where there is a need to conduct just such joint analyses pursuant to the relevant provisions in union law. apart from explicit objection by the fius participating in the joint analyses , the staff of the authority supporting the conduct of joint analyses should be able to receive and process all necessary data and information , including the data and information pertaining to the analysed cases. in order to collect all relevant information in an early stage of the joint analysis and to understand the underlying criminal context , the involvement of europol in the joint analysis may also be solicited.


### (33) in order to improve the effectiveness of the joint analyses , the authority should be able to initiate reviews of methods , procedures and conduct of the joint analyses , with the aim of determining the lessons learnt and of improving and promoting these analyses. the feedback on the joint analysis should enable the authority to issue conclusions and recommendations which would ultimately lead to the regular refinement and improvement of the methods and procedures for the conduct of joint analyses. ### (33) in order to improve the effectiveness of the joint analyses , the authority should be able to develop methods and procedures for the conduct of joint analyses . it shall also review these methods and procedures with the aim of determining the lessons learnt and of improving and promoting these analyses. the feedback on the joint analysis should enable the authority to issue conclusions and recommendations which would ultimately lead to the regular refinement and improvement of the methods and procedures for the conduct of joint analyses.


### (34) in order to facilitate and improve cooperation between fius and the authority , including for the purposes conducting joint analyses , the fius should be able to delegate one staff member per fiu to the authority on a voluntary basis. the national fiu delegates should support the authority’s staff in carrying out all the tasks relating to fius , including the conduct of joint analyses and the preparation of threat assessments and strategic analyses of money laundering and terrorist financing threats , risks and methods. apart from the joint analyses , the authority should encourage and facilitate various forms of mutual assistance between fius , including training and staff exchanges in order to improve capacity building and enable the exchange of knowledge and good practices amongst fius. ### (34) in order to facilitate and improve cooperation between fius and the authority , including for the purposes conducting joint analyses , the fius should be able to delegate one staff member per fiu to the authority. the national fiu delegates should support the authority’s staff in carrying out all the tasks relating to fius , including the conduct of joint analyses and the preparation of threat assessments and strategic analyses of money laundering and terrorist financing threats , risks and methods. apart from the joint analyses , the authority should encourage and facilitate various forms of mutual assistance between fius , including training and staff exchanges in order to improve capacity building and enable the exchange of knowledge and good practices amongst fius.


### (36) in order to establish consistent , efficient and effective supervisory and fiu-related practices and ensure common , uniform and coherent application of union law , the authority should be able to issue guidelines and recommendations addressed to all or category of obliged entities and all or a category of supervisory authorities and fius. the guidelines and recommendations could be issued pursuant to a specific empowerment in the applicable union acts , or on the own initiative of the authority , where there is a need to strengthen the aml/cft framework at union level. ### (36) in order to establish consistent , efficient and effective supervisory and fiu-related practices and ensure common , uniform and coherent application of union law , the authority should be able to issue guidelines and recommendations addressed to all or category of obliged entities and all or a category of supervisory authorities and fius. the guidelines and recommendations could be issued pursuant to a specific empowerment in the applicable union acts , or on the own initiative of the authority , where there is a need to strengthen the aml/cft framework at union level. in the development of guidelines and recommendations the authority could also draw upon expertise of other eu institutions , offices , bodies and agencies involved in the aml/cft framework.


### (41) the chair of the authority should chair the general board meetings and have a right to vote when decisions are taken by simple majority. the commission should be a non-voting member on the general board. to establish good cooperation with other relevant institutions , the general board should also be able to admit other non-voting observers , such as a representative of the single supervisory mechanism and of each of the three european supervisory authorities (eba , eiopa and esma) for the general board in its supervisory composition and europol , the eppo and eurojust for the general board in its fiu composition , where matters that fall under their respective mandates are discussed or decided upon. to allow a smooth decision making process , decisions of the general board should be taken by a simple majority , except for decisions concerning draft regulatory and implementing technical standards , guidelines and recommendations which should be taken by a qualified majority of member state representatives in accordance with voting rules of the tfeu. ### (41) the chair of the authority should chair the general board meetings and have a right to vote when decisions are taken by simple majority. the commission should be a non-voting member on the general board. due to the complementary nature of their mandates , a representative of europol should also be granted the status of non-voting member for the general board in its fiu composition. to establish good cooperation with other relevant institutions , the general board should also be able to admit other non-voting observers , such as a representative of the single supervisory mechanism and of each of the three european supervisory authorities (eba , eiopa and esma) for the general board in its supervisory composition and the eppo and eurojust for the general board in its fiu composition , where matters that fall under their respective mandates are discussed or decided upon. to allow a smooth decision making process , decisions of the general board should be taken by a simple majority , except for decisions concerning draft regulatory and implementing technical standards , guidelines and recommendations which should be taken by a qualified majority of member state representatives in accordance with voting rules of the tfeu.


### (45) the chair of the authority should be appointed based on objective criteria by the council after approval by the european parliament. he or she should represent the authority externally and should report on the execution of authority’s tasks. ### (45) the chair of the authority should be appointed based on objective criteria by the council after approval by the european parliament. he or she should represent the authority externally and should report on the execution of authority’s tasks. the chair of the authority should be able to delegate his/her tasks relating to representation to the vice-chair or to a member of the executive board.


### (59) the authority should establish cooperative relations with the relevant union agencies and bodies , including europol , eurojust , the eppo , and the european supervisory authorities , namely the european banking authority , the european securities and markets authority and the european insurance and occupational pensions authority. to improve cross-sectoral supervision and a better cooperation between prudential and aml/cft supervisors the authority should also establish cooperative relations with the authorities competent for prudential supervision of financial sector obliged entities , including the european central bank with regard to matters relating to the tasks conferred on it by council regulation (eu) no 1024/201343 , as well as with resolution authorities as defined in article 3 of directive (eu) 2014/59/eu of the european parliament and the council44 and designated deposit guarantee schemes authorities as defined in article 2 (1) , point 18 of directive 2014/49/eu of the european parliament and the council45 . to this end , the authority should be able to conclude agreements or memoranda of understanding with such bodies , including with regard to any information exchange which is necessary for the fulfilment of the respective tasks of the authority and these bodies. the authority should make its best efforts to share information with such bodies on their request , within the limits posed by legal constraints , including data protection legislation. in addition , the authority should enable effective information exchange between all financial supervisors in the aml/cft supervisory system and the aforementioned authorities , such cooperation and information exchanges should take place in a structured and efficient way. ### (59) the authority should establish cooperative relations with the relevant union agencies and bodies , including europol , eurojust , the eppo , and the european supervisory authorities , namely the european banking authority , the european securities and markets authority and the european insurance and occupational pensions authority. to improve cross-sectoral supervision and a better cooperation between prudential and aml/cft supervisors the authority should also establish cooperative relations with the authorities competent for prudential supervision of financial sector obliged entities , including the european central bank with regard to matters relating to the tasks conferred on it by council regulation (eu) no 1024/201343 , as well as with resolution authorities as defined in article 3 of directive (eu) 2014/59/eu of the european parliament and the council44 and designated deposit guarantee schemes authorities as defined in article 2 (1) , point 18 of directive 2014/49/eu of the european parliament and the council45 . to this end , the authority should be able to conclude agreements or memoranda of understanding with such bodies , including with regard to any information exchange which is necessary for the fulfilment of the respective tasks of the authority and these bodies. the parties involved should make their best efforts to share information with each other , within the limits posed by legal constraints , including data protection legislation. in addition , the authority should enable effective information exchange between all financial supervisors in the aml/cft supervisory system and the aforementioned authorities , such cooperation and information exchanges should take place in a structured and efficient way.


### (59) the authority should establish cooperative relations with the relevant union agencies and bodies , including europol , eurojust , the eppo , and the european supervisory authorities , namely the european banking authority , the european securities and markets authority and the european insurance and occupational pensions authority. to improve cross-sectoral supervision and a better cooperation between prudential and aml/cft supervisors the authority should also establish cooperative relations with the authorities competent for prudential supervision of financial sector obliged entities , including the european central bank with regard to matters relating to the tasks conferred on it by council regulation (eu) no 1024/201343 , as well as with resolution authorities as defined in article 3 of directive (eu) 2014/59/eu of the european parliament and the council44 and designated deposit guarantee schemes authorities as defined in article 2 (1) , point 18 of directive 2014/49/eu of the european parliament and the council45 . to this end , the authority should be able to conclude agreements or memoranda of understanding with such bodies , including with regard to any information exchange which is necessary for the fulfilment of the respective tasks of the authority and these bodies. the authority should make its best efforts to share information with such bodies on their request , within the limits posed by legal constraints , including data protection legislation. in addition , the authority should enable effective information exchange between all financial supervisors in the aml/cft supervisory system and the aforementioned authorities , such cooperation and information exchanges should take place in a structured and efficient way. ### (59) the authority should establish cooperative relations with the relevant union agencies and bodies , including europol , eurojust , the eppo , and the european supervisory authorities , namely the european banking authority , the european securities and markets authority and the european insurance and occupational pensions authority. to improve cross-sectoral supervision and a better cooperation between prudential and aml/cft supervisors the authority should also establish cooperative relations with the authorities competent for prudential supervision of financial sector obliged entities , including the european central bank with regard to matters relating to the tasks conferred on it by council regulation (eu) no 1024/201343 , as well as with resolution authorities as defined in article 3 of directive (eu) 2014/59/eu of the european parliament and the council44 and designated deposit guarantee schemes authorities as defined in article 2 (1) , point 18 of directive 2014/49/eu of the european parliament and the council45 . to this end , the authority should be able to conclude agreements or memoranda of understanding with such bodies , including with regard to any information exchange which is necessary for the fulfilment of the respective tasks of the authority and these bodies. such agreements should enable the streamlined , uninterrupted and digital flow of information and strengthen interoperability of systems and data. the authority should make its best efforts to share information with such bodies on their request , within the limits posed by legal constraints , including data protection legislation. in addition , the authority should enable effective information exchange between all financial supervisors in the aml/cft supervisory system and the aforementioned authorities , such cooperation and information exchanges should take place in a structured and efficient way. the authority should further establish a contact point and a protocol for whistle-blowers , respecting the necessary confidentiality requirements.


### (61) considering that cooperation between supervisory , administrative and law enforcement authorities is crucial for successful combatting of money laundering and terrorism financing , and certain union authorities and bodies have specific tasks or mandates in that area , the authority should make sure that it is able to cooperate with such authorities and bodies , in particular olaf , europol , eurojust , and the eppo. if there is a need to establish specific working arrangements or conclude memoranda of understanding between the authority and these bodies and authorities , the authority should be able to do so. the arrangement should be of strategic and technical nature , should not imply sharing of any confidential or operational information in possession of the authority and should account for tasks already carried out by the other union institutions , bodies , offices or agencies as regards the prevention of and fight against money laundering and terrorist financing. ### (61) considering that cooperation between supervisory , administrative and law enforcement authorities is crucial for successful combatting of money laundering and terrorism financing , and certain union authorities and bodies have specific tasks or mandates in that area , the authority should develop its activities in synergy with the eu authorities and bodies involved in the aml/cft framework and make sure that it is able to cooperate well with such authorities and bodies , in particular olaf , europol , eurojust , and the eppo. if there is a need to establish specific working arrangements or conclude memoranda of understanding between the authority and these bodies and authorities , the authority should be able to do so. the cooperation with europol shall be given particular attention given the complementarity of the tasks of the authority , especially in its fiu coordination and support mechanism component , with those carried out by europol. with the exception of europol , where cooperation should also cover operational aspects , the arrangements should be of strategic and technical nature and should account for tasks already carried out by the other union institutions , bodies , offices or agencies as regards the prevention of and fight against money laundering and terrorist financing. with the exception of europol , the arrangements should not imply sharing of any confidential or operational information in possession of the authority.


### (62) since both predicate offenses as well as the crime of money laundering itself often are of global nature , and given that the union obliged entities also operate with and in third countries , effective cooperation with all the relevant third country authorities in the areas of both supervision and functioning of fius are crucial for strengthening the union aml/cft framework. given the authority’s unique combination of direct and indirect supervision and fiu cooperation-related tasks and powers , it should be able to take an active role in such external cooperation arrangements. specifically , the authority should be empowered to develop contacts and enter into administrative arrangements with authorities in third countries that have regulatory , supervisory and fiu-related competences. the authority’s role could be particularly beneficial in cases where the interaction of several union public authorities and fius with third country authorities concerns matters within the scope of the authority’s tasks. in such cases , the authority should have a leading role in facilitating this interaction. ### (62) since both predicate offenses as well as the crime of money laundering itself often are of global nature , and given that the union obliged entities also operate with and in third countries , effective cooperation with all the relevant third country authorities in the areas of both supervision and functioning of fius are crucial for strengthening the union aml/cft framework. given the authority’s unique combination of direct and indirect supervision and fiu cooperation-related tasks and powers , it should be able to take an active role in such external cooperation arrangements , without prejudice to the respective competences of the member states , the union institutions , offices , bodies and agencies. specifically , the authority should be empowered to develop contacts and enter into administrative arrangements with authorities in third countries that have regulatory , supervisory and fiu-related competences. the authority’s role could be particularly beneficial in cases where the interaction of several union public authorities and fius with third country authorities concerns matters within the scope of the authority’s tasks. in such cases , the authority should have a coordinating role in facilitating this interaction. the authority should also undertake its activities in close consultation with other eu institutions , offices , bodies and agencies in the field of aml/cft that already have established third-country cooperation relationships.


### develop appropriate methods and procedures for the conduct of such joint analyses of cross-border cases; ### develop appropriate methods and procedures for the conduct of such joint analyses of cross-border cases , also using the analytical expertise of other eu bodies such as europol;


### set up , coordinate , organise and facilitate the conduct of joint analyses carried out by fius; ### set up , coordinate , organise and facilitate the conduct of joint analyses carried out by fius , taking into account analysis already carried out by other eu institutions , offices , bodies and agencies involved in the aml/cft framework;


### develop and make available to fius it and artificial intelligence services and tools for secure information sharing , including by hosting fiu.net; ### develop and make available to fius' and connected third parties' it and artificial intelligence services and tools for secure information sharing , including by hosting fiu.net;


### prepare and coordinate threat assessments , strategic analyses of money laundering and terrorism financing threats , risks and methods identified by fius. ### in cooperation with europol , prepare and coordinate threat assessments , strategic analyses of money laundering and terrorism financing threats , risks and methods identified by fius.


### 6. for the purpose of carrying out the tasks conferred on it by this regulation , the authority shall apply all relevant union law , and where this union law is composed of directives , the national legislation transposing those directives. where the relevant union law is composed of regulations and where currently those regulations explicitly grant options for member states , the authority shall apply also the national legislation exercising those options. ### 6. for the purpose of carrying out the tasks conferred on it by this regulation , the authority shall apply or take into consideration all relevant union law , and where this union law is composed of directives , the national legislation transposing those directives. where the relevant union law is composed of regulations and where currently those regulations explicitly grant options for member states , the authority shall apply also the national legislation exercising those options.


### 3. with respect to fius in the member states , the authority shall have the following powers: ### 3. with respect to fius in the member states and other eu institutions , offices , bodies and agencies involved in the aml/cft framework , the authority shall have the following powers:


### to collect information and statistics in relation to the tasks and activities of the fius; ### to collect information and statistics in relation to the tasks and activities of the fius and other eu institutions , offices , bodies and agencies involved in the aml/cft framework with which the authority is cooperating;


### to obtain and process information and data required for the coordination of joint analyses as specified in article 33; ### to obtain , process and match information and data required for the initiation and coordination of joint analyses as specified in article 33;


### to issue guidelines and recommendations. ### to issue guidelines and recommendations with the input , when relevant , from other eu institutions , offices , bodies and agencies involved in the aml/cft framework.


### to issue guidelines and recommendations , as provided in article 43; ### to issue guidelines and recommendations , as provided in article 43 with the input , when relevant , from other eu institutions , offices , bodies and agencies involved in the aml/cft framework;


### 3. where the scope and union-wide relevance of thematic reviews justify coordination at union level , they shall be carried out jointly by the relevant supervisory authorities and shall be coordinated by the authority. the general board in supervisory composition shall draw up a list of joint thematic reviews. the general board in supervisory composition shall draw up a report relating to the conduct , subject-matter and outcome of each joint thematic review. the authority shall publish that report on its website. ### 3. where the scope and union-wide relevance of thematic reviews justify coordination at union level , they shall be carried out jointly by the relevant supervisory authorities and shall be coordinated by the authority. the general board in supervisory composition shall draw up a list of joint thematic reviews. the general board in supervisory composition shall draw up a report relating to the conduct , subject-matter and outcome of each joint thematic review. the authority shall share this report with the other eu institutions , offices , bodies and agencies involved in the aml/cft framework and publish it on its website.


### 1. the authority shall establish and keep up to date a central database of information collected pursuant to paragraph 2. the authority shall analyse the information received and ensure that it is made available to supervisory authorities on a need-to-know and confidential basis. the authority may share the results of its analysis on its own initiative with supervisory authorities for the purposes of facilitating their supervisory activities. ### 1. the authority shall establish and keep up to date a central database of information collected pursuant to paragraph 2. the authority shall analyse the information received , also making use , if relevant , of information from europol in accordance with regulation 2016/794 and ensure that this analysis is made available to supervisory authorities and other eu institutions , offices , bodies and agencies involved in the aml/cft framework on a need-to-know and confidential basis. the authority may share the results of its analysis on its own initiative with supervisory authorities for the purposes of facilitating their supervisory activities.