The Central Bank of Russia has published a consultation concept setting out new approaches for banks to include subsidiary and affiliated institutions when calculating consolidated ratios, with the aim of improving group risk assessment and the estimation of the capital cushion needed to cover those risks. Under the proposed approach, all non-financial companies would be excluded from the consolidation perimeter, while non-governmental pension funds and insurers would also be kept outside the perimeter due to their specific risks and limits on the usability of their capital by the parent bank. The concept would fix a defined list of financial institutions to be consolidated, namely credit institutions, leasing and factoring companies, microfinance organisations, management companies, brokers, dealers, and special-purpose financial entities, and would introduce minimum scale criteria based on subsidiaries’ and affiliates’ assets, capital, and profits so that material financial activities are captured. The regulatory framework is planned to be developed in 2026, with the new rules intended to be enacted as early as the fourth quarter of 2027 and certain decisions expected to take effect in stages. Feedback on the consultation paper is open through 4 March 2026.
Central Bank of Russia 2026-02-05
Central Bank of Russia consults on new consolidation perimeter for banks’ consolidated ratios
The Central Bank of Russia has released a consultation concept proposing new approaches for banks to include specific subsidiary and affiliated institutions in consolidated ratio calculations to enhance group risk assessment. The framework, excluding non-financial companies and certain financial entities, is set for development in 2026 with implementation anticipated by Q4 2027, and feedback is open until 4 March 2026.