Regulatory Alerts2026-01-02
CRR Supplementary Regulation 2021 (CRR-BV 2021)
The Austrian Financial Market Authority (FMA) issued this regulation to implement supplementary supervisory discretions under EU Regulation 575/2013, primarily governing capital treatment, risk weights, and consolidation practices for Austrian credit institutions. It permits the inclusion of interim and year-end profits as Common Equity Tier 1 capital, establishes a 1250% risk weight for qualifying holdings exceeding regulatory thresholds, and defines materiality criteria for obligor defaults based on specific past-due ratios and monetary amounts. Additionally, the measure grants pre-authorization for cooperative banks to redeem capital up to 1% of eligible CET1 in 2026, mandates detailed consolidation methodologies for financial and non-financial subsidiaries, and extends transitional allowances for covered bond valuations and external credit assessments until mid-2026.