Circular BCL 2013/234 of 20 June 2013 — Introduction of Daily Information Collection on Deposits with Credit Institutions

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Luxembourg, 20 June 2013
To all credit institutions

CIRCULAR BCL 2013/234
Introduction of Daily Information Collection on Deposits with Credit Institutions

Madam, Sir,

Since the beginning of the financial crisis, the European Central Bank (ECB) and the national central banks (NCBs) have intervened several times and at different levels. Thus, on 8 December 2011, several support measures were approved, notably to promote bank credit and liquidity in the euro area money market.

In this context of fighting the financial crisis, it is imperative to have a wide range of prudential and statistical information conducive to the supervision of the financial sector and to decision-making regarding support for markets and economic actors. This information, the majority of which is available on a monthly and quarterly basis, has proven to be an indispensable source of information for assessing the health of the banking sector and the general economic situation, as well as the quality of counterparties for monetary policy operations.

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However, the acceleration of developments among certain actors in financial markets, and particularly the counterparties to the Eurosystem's monetary policy operations, means that monthly and quarterly information is now insufficient. Thus, in this context, the Management of the Banque Centrale du Luxembourg (BCL) has voted in favor of implementing an information collection in "real time," that is, with high frequency. This information collection must essentially allow for better monitoring of the evolution of deposits with banks and thereby better anticipating developments that would result in a situation where a bank would be deprived of part of its refinancing.

The BCL has therefore decided to establish a new collection that will be added to the existing monthly and quarterly statistical reports. The transmission frequency is daily, and the new statistical report must be submitted by 2:00 PM on the day following the date to which the data relates.

Since this new daily reporting is to be implemented in the near future, the BCL has opted for a gradual implementation to facilitate implementation by credit institutions.

This gradual implementation revolves around the following two axes:

• Banks invited to participate

In a first step, that is, from 1 October 2013 to 31 December 2013 inclusive, only credit institutions representing together more than 80% of the total deposits collected by banks on the market will be invited to participate in the census. The credit institutions selected in this sample will be informed by individual letter of their participation in this collection.

From 1 January 2014, the collection will be mandatory for all credit institutions.

• Frequency of the collection

In a first step, and until 31 December 2013 inclusive, the frequency of the collection will be weekly and will cover data from the first business day of the week.

From 1 January 2014, the collection will have a daily frequency.

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In this context, we invite credit institutions to submit the report on deposit balances with daily frequency as soon as they have implemented the necessary IT solutions for this purpose, and we invite them not to wait until the end of the grace period provided above.

All instructions are detailed in the following documents:

• Reporting Instructions for the report "S 0.1 Daily Report on Deposits"
• Report S 0.1 "Daily Report on Deposits"
• Manual for Electronic Transmission of Report S 0.1 "Daily Report on Deposits"

These documents are available on the BCL website and can therefore be downloaded from the link:
http://www.bcl.lu/fr/reporting/Etablissements_de_credit/index.html

For any information regarding the application of this circular, please contact directly the Banking and Monetary Statistics Section (email: reporting.banques@bcl.lu).

Please accept, Madams, Sirs, the assurance of our perfect consideration.

BANQUE CENTRALE DU LUXEMBOURG
The Management

Pierre Beck Serge Kolb Gaston Reinesch
General Director