The methodology of this review will be based on the highest standards already developed and applied by the ECB in the recently completed asset quality review in the euro area largest banks prior to their transition to the SSM. This review will be carried out with the help of an independent external consultant. It should start not later than the end of next year, depending on how the implementation of the new Bank Recovery and Resolution Directive advances, including the creation of the respective resolution fund. I assure you that  BIS central bankers’ speeches  3  the BNB is going to get commercial banks familiar, at an early enough stage, with the main elements of the methodology of the forthcoming asset quality review, so that each bank could budget the relevant costs (by analogy with the euro area where banks have borne the costs of their asset quality review). Dear friends, The passing 2014 will regrettably be remembered for the vicious public pressure on the BNB. The central bank was under systematic and orchestrated attacks behind which one could see narrow corporate interests and political dependencies. Such focused, fierce and continuous attacks against the central bank are unheard of in today’s advanced societies, and are certainly far from the European norms. Information about who paid for these attacks and whose money was spent on them is already becoming public knowledge. Even more interesting details may continue to come out in the months ahead.
However, it should be noted that in all those cases no central bank was pressurised to take the full responsibility and to be scapegoated, unlike the continual public attacks here against the BNB. In other countries the responsible institutions and politicians have always held the understanding that the central bank’s authority is of paramount importance for the calm of depositors and the stability of the banking system as a whole. All across the world that authority, and the independence of the central bank, are considered to be a long-term asset of the country. Consequently, central banks’ actions have not been compromised under the pressure of temporary economic or political emotions. All said so far does not mean that the BNB has no intention to draw conclusions for improving the efficiency of the banking supervision. Quite the opposite, the BNB has already undertaken serious steps in this direction. Back in the summer we publicly announced a number of measures and actions for reviewing the supervisory framework and practices. I wish to remind you that as early as in July we sent an official letter to the EBA inviting them to carry out an independent review of the quality, capacity, practices and procedures of the BNB’s Banking Supervision Department. In August we sent another letter to the International Monetary Fund (IMF) requesting them to organise a mission of the IMF and World Bank in Bulgaria under the Financial Sector Assessment Program (FSAP).