The Swedish Financial Supervisory Authority has clarified how it will apply Article 36(5) of the EU Capital Requirements Regulation exemption for “specialised debt restructurers” after the European Banking Authority (EBA) rejected two interpretative questions FI had submitted via the EBA Q&A tool (following referral to, and a response from, the European Commission). For the requirement that the conditions in Article 36(5) must have been met during the preceding financial year, FI will continue to apply the provision on the basis that the conditions must have been fulfilled at all times throughout the preceding financial year and up to the point of notification. On the five percent cap in Article 36(5)(f) for demand deposits as a share of total liabilities, FI will continue to interpret “demand deposits” as at least including deposits that lack a contractual maturity. FI also concludes that, given the EBA’s rejection and its view that the wording and purpose of the provision support its approach, it does not currently see a need to issue a formal legal position statement.
Finansinspektionen 2025-02-13
Swedish Financial Supervisory Authority confirms how it will apply the CRR exemption for specialised debt restructurers
The Swedish Financial Supervisory Authority (FI) clarified its application of Article 36(5) of the EU Capital Requirements Regulation for "specialised debt restructurers" after the European Banking Authority rejected two interpretative questions. FI requires conditions to be met throughout the preceding financial year and up to notification, interpreting "demand deposits" as including those without contractual maturity. FI does not see a need for a formal legal position statement now.