Regulatory Alerts2022-04-28
Added · Updated
FMA Minimum Standards for Lending Business and Other Transactions with Counterparty Risks Recast April 2022
The Austrian Financial Market Authority (FMA) issued this recast document to establish supervisory expectations for credit institutions regarding the management of lending business and counterparty risks. It mandates that management boards define a comprehensive risk strategy, ensure proper organizational structures, and implement rigorous procedures for loan origination, monitoring, and risk controlling. The standards apply to all licensed credit institutions, with proportional implementation permitted for smaller entities, while explicitly referencing further-reaching requirements from European Banking Authority guidelines.
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