Recital 1

(1)The harmonised minimum level of the Total Loss-Absorbing Capacity (TLAC) Term Sheet (‘TLAC standard’) for global systemically important institutions (G-SIIs) (‘the TLAC requirement’) has been introduced into Union legislation by Regulation (EU) 2019/876 of the European Parliament and of the Council ³ amending Regulation (EU) No 575/2013. The institution-specific add-on for G-SIIs and the institution-specific requirement for non-G-SIIs, referred to as the minimum requirement for own funds and eligible liabilities (MREL), have been established through targeted amendments to Directive 2014/59/EU introduced by Directive (EU) 2019/879 of the European Parliament and of the Council ⁴ . Reporting and disclosure requirements for both TLAC standard and MREL are now included in Regulation (EU) No 575/2013 and Directive 2014/59/EU, respectively.