BNB Sets Countercyclical Buffer at 1% for Third Quarter of 2020
BNB has set the level of countercyclical capital buffer (CCyB) applicable to credit risk exposures in the Republic of Bulgaria at the rate of 1% for the third quarter of 2020. The level of the CCyB applicable to credit risk exposures in the Republic of Bulgaria remains 0% until the end of the third quarter of 2019, 0.5% for the fourth quarter of 2019 and the first quarter of 2020 and 1% for the period April-June 2020. The Governing Council of BNB will make a decision on the level of buffer applicable in the fourth quarter of 2020 in September 2019.
Trends from previous quarters for increased activity on the credit market in the country remain. In times of increased lending, BNB states that it is possible to start gradually accumulating cyclical risks that would occur if the ability of borrowers to service obligations weakened in the event of a possible downturn in economic activity and an increase in risk premiums included in interest rates. Maintaining an anti-cyclical capital buffer in a period of favorable economic conditions may contribute to preserving and further enhancing the capital position of the banking system, thus enhancing the sustainability of credit institutions in future credit risk realization.
Related Links (in Bulgarian)
Keywords: Europe, EU, Bulgaria, Banking, CCyB, Regulatory Capital, Basel III, BNB
Previous Article
CFTC Amends De Minimis Exception Under the Swap Dealer DefinitionRelated Articles
|
News
US Agencies Consult on Capital Treatment of Land Development LoansUS Agencies (FDIC, FED, and OCC) issued a proposed rule on the treatment of loans that finance the development of land for purposes of the one- to four-family residential properties exclusion in the definition of high volatility commercial real estate (HVCRE) exposure in the regulatory capital rule.
July 12, 2019
WebPage
Regulatory News
|
|
News
EBA Single Rulebook Q&A: Second Update for July 2019Under the Single Rulebook question and answer (Q&A) updates for this week, EBA published answers to five questions related to supervisory reporting.
July 12, 2019
WebPage
Regulatory News
|
|
News
ESMA Updates Manual for European Single Electronic Format in EUESMA updated the reporting manual for European Single Electronic Format (ESEF).
July 12, 2019
WebPage
Regulatory News
|
|
News
FED Updates Supplemental Instructions for Reporting Form FR Y-9CFED updated the supplemental instructions for FR Y-9C reporting.
July 12, 2019
WebPage
Regulatory News
|
|
News
EBA Publishes Report on Monitoring Implementation of LCR in EUEBA published its first report on the monitoring of the implementation of liquidity coverage ratio (LCR) in EU.
July 12, 2019
WebPage
Regulatory News
|
|
News
EIOPA Consults on Reporting and Disclosures Under Solvency II ReviewEIOPA launched a consultation package on supervisory reporting and public disclosure in the context of its work linked with the 2020 Solvency II review.
July 12, 2019
WebPage
Regulatory News
|
|
News
APRA Applies Additional Capital Requirements to Three Australian BanksAPRA is applying additional capital requirements to three major banks in Australia to reflect higher operational risk identified in their risk governance self-assessments.
July 11, 2019
WebPage
Regulatory News
|
|
News
IMF Report on 2019 Article IV Consultation on Euro Area PoliciesIMF published its staff report in context of the 2019 Article IV consultation on euro area policies with member countries.
July 11, 2019
WebPage
Regulatory News
|
|
News
FSB to Survey Practices on Cyber Incident Response and RecoveryFSB launched a survey on the industry practices on cyber incident response and recovery.
July 11, 2019
WebPage
Regulatory News
|
|
News
ECB Appoints New Members of Supervisory BoardThe Governing Council of ECB appointed Edouard Fernandez-Bollo, Kerstin af Jochnick, and Elizabeth McCaul as representatives to the Supervisory Board of ECB Banking Supervision, for a five-year non-renewable term.
July 11, 2019
WebPage
Regulatory News
|
