ESRB Updates List of Countercyclical Capital Buffers in December 2018
ESRB updated the list of the countercyclical capital buffer (CCyB) rates applicable in countries in the Eurosystem. Since the last update, the CCyB information has been updated for Austria, Bulgaria, Czech Republic, Estonia, and Norway. The table also contains the CCyB rates that have been announced, but not yet implemented, by the designated authorities.
As part of the information accompanying the announcement, designated authorities must notify ESRB about each quarterly setting of CCyB rates. CCyB is part of a set of macro-prudential instruments, designed to help counter pro-cyclicality in the financial system. Capital should be accumulated when cyclical systemic risk is judged to be increasing, creating buffers that increase the resilience of the banking sector during periods of stress when losses materialize. This will help maintain the supply of credit and dampen the downswing of the financial cycle. A CCyB can also help dampen excessive credit growth during the upswing of the financial cycle.
Related Links
Keywords: Europe, EU, Banking, CCyB, Capital Buffer, Macro-prudential Instrument, Systemic Risk, ESRB
Featured Experts
Dr. Samuel W. Malone
Sam leads the quantitative research team within the CreditEdge™ research group. In this role, he develops novel risk and forecasting solutions for financial institutions while providing thought leadership on related trends in global financial markets.
Previous Article
HKMA Announces Intention to Consult on Updated BCBS Disclosure RulesRelated Articles
|
News
PRA Amends Pillar 2 Capital Framework for BanksPRA published the policy statement PS2/20 that contains the final amendments to the Pillar 2 framework and provides feedback to responses to the consultation paper CP5/19 on updates related to Pillar 2 capital framework.
January 23, 2020
WebPage
Regulatory News
|
|
News
FED Proposes to Revise Information Collection Under Market Risk RuleFED proposed to revise and extend, for three years, FR 4201, which is the information collection under the market risk capital rule.
January 22, 2020
WebPage
Regulatory News
|
|
News
MAS Amends Notices on Minimum Liquid Asset Requirements for BanksMAS published amendments to Notices 1015, 613, and 649 related to the minimum liquid assets (MLA) requirements.
January 21, 2020
WebPage
Regulatory News
|
|
News
APRA Publishes Submission on Fintech and RegtechAPRA published its submission, to the Senate Select Committee, on financial technology and regulatory technology.
January 21, 2020
WebPage
Regulatory News
|
|
News
ECB Consults on Guideline on Threshold for Credit Obligations Past DueECB published a draft guideline, along with the frequently asked questions (FAQs), on the definition of the materiality threshold for credit obligations past due for less significant institutions.
January 20, 2020
WebPage
Regulatory News
|
|
News
BIS Discusses Role of Central Banks in Addressing Climate Change RisksBIS published a book that reviews ways of addressing the climate change risks within the financial stability mandate of central banks.
January 19, 2020
WebPage
Regulatory News
|
|
News
FSB Report Examines Global Nonbank Financial Intermediation ActivityFSB published the ninth annual report examining the global non-bank financial intermediation activity.
January 19, 2020
WebPage
Regulatory News
|
|
News
OSFI Publishes Instruction Guide on Solvency Information ReturnOSFI published an instruction guide to assist administrators of pension plans in completing the Solvency Information Return that is required to be filed with OSFI.
January 17, 2020
WebPage
Regulatory News
|
|
News
EU Amends IFRS 9 Rule, Changes Concern Interest Rate Benchmark ReformsEU published Regulation 2020/34 regarding the International Accounting Standard (IAS) 39 and International Financial Reporting Standards (IFRS) 7 and 9.
January 16, 2020
WebPage
Regulatory News
|
|
News
FDIC and OCC Issue Statement on Heightened Cyber Security RiskIn response to the heightened cyber-security risk facing the financial services industry and other critical business sectors, FDIC and OCC issued an interagency statement on heightened cyber-security risk.
January 16, 2020
WebPage
Regulatory News
|
