By Alix Prentice

Partner | Financial Regulation

In an article for Business Law Today, Cadwalader partner Alix Prentice examined the the EU’s sixth Capital Requirements Directive (CRD VI), which takes effect January 11, 2027 and introduces significant restrictions on cross-border lending by non-EU banks into Europe.

CRD VI requires non-EU banks providing “core banking services,” broadly interpreted to include lending, trade finance, guarantees and commitments, to operate through a licensed European branch or subsidiary, with subsidiaries benefiting from passporting rights across the EU. U.S. banks without a European presence will need to restructure their lending models to remain compliant.

You can read the full article here.