COREP XBRL Reporting in Norway Presentation 25 11
COREP XBRL Reporting in Norway Presentation 25. 11 2010 Harald Furnes / Aftab Ahmad 09/11/2020
Agenda 1. Background – the COREP-No project and structure of the Norwegian financial market 2. Overview of the XBRL solution implemented 3. Composing a valid COREP-No XBRL-file from a filled Excel template workbook (using RBME Lite) - Starting from report IRB or SA - Including validation (business rules) 4. Submission process - Log in - Validation and error handling routine 5. Conclusion and future work 2 11/9/2020 *
1. Background: COREP project at FSA of Norway • Decided early (2004) to follow CEBS guidelines on common reporting (COREP-templates) • Finanstilsynet participated as an observer in CEBS’ COREP group for common European reporting • The Norwegian banking industry was informed about the COREP-templates and the recommended standard XBRL through informal and formal consultations from 2004 to 2007. • Finanstilsynet made a final decision in 2006 to follow CEBS guidelines and implement COREP Framework (COREPtemplates and XBRL-taxonomies developed by CEBS). • COREP project initiated in summer 2007. 3 11/9/2020 *
1. Background: COREP project at FSA of Norway • Main objectives: – To follow CEBS’ guidance and advice on Common reporting (COREP) and technical standard (XBRL) – To establish a modernized and effective reporting framework/solution – To establish an infrastructure and competence within the organization to make Finanstilsynet able to extend the framework to other XBRL-reports 4 11/9/2020 *
1. Background: COREP project at FSA of Norway 5 • The goal is to implement the COREP reporting framework based on XBRL, with the possibility of reporting in an alternative format, Excel. (XBRL not mandatory) • Reasons for XBRL: – Harmonising banking supervision practices in Europe (aiming a harmonised European reporting mechanism) – Make use of already defined taxonomies (elements, dimensions, linkbases, validation rules) developed by CEBS. – Modernized data collection system - XBRL is based upon a well established technology (XML) • Reasons for alternative format (Excel): – XBRL is not a common standard yet – Finanstilsynet wants to give the reporting institutions time to implement XBRL. – It has not yet been decided whether the alternative reporting format (Excel) will be a permanent or a temporary solution. 11/9/2020 *
1. Background: COREP-project at FSA of Norway - Main activities in the project: - Taxonomy extension: COREP to COREP No (national discretions, reduction of reporting elements and adding elements) – Solution to convert Excel-templates to XBRL-files, including some business validation during converting – Internet-portal based on UBMatrix software and some specific developments made by CIBER Norge, our local vendor, needed to meet the requirements from Finanstilsynet – Functionality in the portal: Automation of the reporting processes submission, validation process, data storage, notifications, submission history etc. – Version management (taxonomies, templates) 6 11/9/2020 *
1. Background: Structure in Norway Banks Finance companies and mortgage companies Holding companies Securities houses IRB 7 6 2 SA 131 54 10 146 • 2 different reports (IRB, SA), 7 different groups of reporting institutions, 2 different levels of reporting (solo vs consolidated), 4 different frequencies for reporting • Resubmission allowed after closing date 7 11/9/2020 *
XBRL-solution: COREP-No xbrl COREP NO taxonomy Excel plug-in and template package -Validate -Generate xbrl-file Excel plug-in and template package Taxonomyadaptation/ -administration COREP CEBS Finanstilsynets Internettportal -Log in -Submit -Control and validate -Processing -Saving Database xbrl 8 11/9/2020
2. Overview: Description of activities involved in the reporting process 1. Finanstilsynet implements the Norwegian adaptations to COREP, in the COREP-No taxonomy 2. The COREP-No taxonomy is published on Finanstilsynet’s website. The taxonomy is used by reporting institutions who choose alternative 5 a in figure 1. 3. The Excel template with plug-in (which references the taxonomy) is published on Finanstilsynet’s website. The Excel template with plug-in is an alternative to generating a valid COREP-No XBRL file (see 5 b in figure 1). 4. Finanstilsynet prepares for submission of new reporting period. 5. The reporting institutions can generate their xbrl files in two different ways: a. b. The reporting institution generates an XBRL file directly from their systems Excel template with plug-in: The reporting institution fills out an Excel template as specified in step 3. The Excel plug-in performs business rules validation and generates a valid XBRL file. At the end, the XBRL-file is submitted via web portal. During submission, the xbrl-file is validated against the taxonomy 6. 9 Finanstilsynet monitors submissions in the new portal 11/9/2020 *
3. Composing a COREP-No XBRL-file: The Excel plug-in (RBME Lite) • Developed in. Net and C# (requires some standard Microsoft components for installation) Files in the template package: • Excel template workbook (IRB/SA) • Context file (Taxonomy) • Mapping file (Link from taxonomy to cells in excel) • Validation file (Business rules) – will not be needed when formula linkbase is fully implemented 10 11/9/2020 *
3. Composing an XBRL-file from a filled excel template: Demonstration of different variations • A COREP-No xbrl instance file with errors in business rules • A COREP-No xbrl instance file without errors in business rules • A COREP-No xbrl instance file with errors according to the taxonomy and how to identify the errors using validation routine (during submission) 11 11/9/2020 *
3. Composing an XBRL-file from a filled excel template: RBME Lite Generate xbrl instance file Localize errors 12 11/9/2020 *
4. Submission process: EAS – login 13 11/9/2020 *
4. Submission process: EAS - submission 14 11/9/2020 *
4. Submission process : Error handling routine All reporting data is uniquely defined by a combination of concept and context RBME Lite has an error handling routine that can identify the error location (cells) in the Excel template workbook 15 11/9/2020 *
4. Submission process : Error handling routine 16 11/9/2020 *
4. Submission process Main webpage http: //www. finanstilsynet. no/no/Bank-og-finans/Banker/Tilsyn-ogovervakning/Rapportering/COREP-/ This webpage includes: • Link to the portal • User guidelines • COREP templates • Necessary software 17 11/9/2020 *
5. Conclusions • Minimum burden on reporting institutions (by providing the possibility to convert the existing COREP Excel template to XBRL instance file) • Save time and resources (for both reporting institutions and supervisor) by enforcing validation before and during submission • For supervisor: better quality of data and a flexible/standard data format for further analysis and utilization • Possibility to exchange reported data with others (especially supervisory institutes) who have implemented COREP • Challenging project (complex taxonomy, immature software and limited skilled resources) 18 11/9/2020 *
5. Future work for FSA Norway • Implement new COREP versions (CRD II, CRD III …) • Develop solutions for XBRL data analysis and utilization • Encourage the institutes to implement XBRL • Possibly develop web services where reporting institutions can submit their instance files directly from their systems 19 11/9/2020 *
FINANSTILSYNET Revierstredet 3 Postboks 1187 Sentrum 0107 Oslo www. finanstilsynet. no Aftab. ahmad@finanstilsynet. no Harald. furnes@finanstilsynet. no
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