The Capital Requirements Directive (CRD IV) introduces standards that should aim at strengthening the corporate governance of financial institutions that pursue predominantly commercial objectives. The Directive limits the number of directorships which may be held by members of the management body. The European Banking Federation considers the limitations on directorships as an inappropriate measure to address the heart of the matter. However, the inclusion of provisions listing categories, according to which, more directorships would count as one, and leaving some discretion at the national level, where the national authorities may authorise more combinations, could be perceived as a positive development.
Another key point is the introduction of principles for professional diversity of Board members (e.g. age, gender, geographical provenance, educational and professional background). However, diversity should not be specifically linked to financial institutions, and, in any case, should primarily focus on criteria regarding the professional skills so as to ensure high professional competence.