A stable, well-functioning financial market for allA stable, well-functioning financial market for allSwedish banks' systemic importance (O-SII)
FI intends to comply with the European Banking Authority's (EBA) guidelines on criteria to assess other systemically important institutions (O-SIIs).
In summary the outcome of FI's assessment for 2015 is:
- The four large banking groups, (Nordea, Svenska Handelsbanken, Skandinaviska Enskilda Banken (SEB) and Swedbank) are intended to be identified as other systemically important institutions (O-SIIs).
- The capital buffer requirement that follows from this identification, which is to be held in the form of CET1, is intended to amount to 2 per cent at group level.
The additional capital buffer requirement that follows from an entity being identified as an O-SII does not lead to any increase of the total capital requirement for the four large banks. They are currently required to hold a 3 per cent systemic risk buffer, and the buffer requirement from the O-SII assessment is not additive to the systemic risk buffer.
The process of assessing O-SIIs will be conducted annually, which implies that the results presented now could be changed going forward if the basis for the assessment is changed.
O-SII capital buffer requirements will enter into force on 1 Jan 2016 for those companies that have been identified during 2015.
The consultation process is open until 17 July 2015.
