Regulatory Alerts2026-01-01
Decision on the Method of Calculating Maximum Distributable Amount of Credit Institutions
The Council of the Central Bank of Montenegro issued this Decision to establish the calculation methodology for the Maximum Distributable Amount (MDA) when credit institutions fail to meet combined buffer or leverage ratio buffer requirements. The regulation mandates that institutions calculate distributable profits by applying specific quartile-based factors to their capital metrics and notifying the Central Bank of their intended distributions. These provisions apply to all credit institutions, with specific application to global systemically important institutions deferred until Montenegro's accession to the European Union.
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