Finansinspektionen’s report, Stability in the Financial System, shows that the high level of household debt and rising house prices are causing vulnerabilities to build up in the Swedish economy. FI therefore would like to introduce a stricter amortisation requirement for new mortgage holders who take large loans in relation to their income.
The amortisation requirement that was introduced last year has had a slow-down effect thus far. Households with new mortgages are borrowing less and buying less expensive homes, but the risks associated with high household debt remain.
Nasdaq Clearing AB is receiving a remark and must pay an administrative fine of SEK 25 million. Nasdaq Stockholm AB is receiving a remark and must pay an administrative fine of SEK 30 million.
Finansinspektionen (FI) reports its assessment of financial stability twice a year. At a press conference today, FI Director General Erik Thedéen and FI Chief Economist Henrik Braconier will present this year’s second stability report.
Finansinspektionen (FI) believes that securitisation can give rise to risks that are not considered in current regulation. FI is therefore submitting for consultation today the method it intends to use to assess banks’ capital requirement within Pillar 2 for flowback risks during securitisation.
Finansinspektionen (FI) is publishing two consultation memorandums today that will raise the capital requirements primarily for exposures to corporates for banks that use the internal ratings-based approach.
FI noted during the spring that Nordea's reported Probability of Default (PD) as a percentage of its corporate lending was larger than its estimated PD during certain years and in certain markets. In other words, actual PD was higher than the bank's estimated PD.
SvD published information today about FI's supervision of Nordea and the banks' internal models. FI therefore sees a need to describe and make certain clarifications about its supervision and how the capital assessment for Nordea has been handled.
SvD is publishing an article today about information in a memorandum written by FI regarding Nordea's capital needs. SvD did not receive the memorandum from FI. As a result, the confidentiality assessment that FI is obligated to conduct pursuant to the Public Disclosure and Secrecy Act has not been conducted.
Household debts are continuing to develop in an unfavourable direction. This is one of the conclusions in FI's Stability Report, which is being published today.