Decision on Setting the Countercyclical Capital Buffer Rate for the Republic of Slovenia

Decision on Setting the Countercyclical Capital Buffer Rate for the Republic of Slovenia

(Unofficial consolidated text No. 1)

Date of commencement of application:
06.01.2024

Article 1

(content and purpose of the decision)

(1) Banka Slovenije increases the countercyclical capital buffer rate for the Republic of Slovenia with the aim of "mitigating and preventing excessive credit growth and excessive financial leverage."

(2) This decision further specifies for banks and savings banks (hereinafter: banks):

1. the countercyclical capital buffer rate applicable for the calculation of the bank's own countercyclical capital buffer in relation to credit exposures in the Republic of Slovenia, and

2. the date from which banks must apply the countercyclical capital buffer rate from the preceding point for the purpose of calculating and maintaining their own countercyclical capital buffer for relevant credit exposures in the Republic of Slovenia, as defined in Article 232 of the Banking Act (ZBan-3).

Article 2

(amount of the countercyclical capital buffer rate for relevant credit exposures in the Republic of Slovenia)

Banka Slovenije sets the countercyclical capital buffer rate for the Republic of Slovenia at 1% of the total risk exposure, calculated in accordance with paragraph 3 of Article 92 of Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012 (OJ L No 176 of 27 June 2013, p. 1) with amendments (hereinafter: Regulation (EU) No 575/2013).

Article 3

(commencement of application of the countercyclical capital buffer rate)

(1) The countercyclical capital buffer rate for the Republic of Slovenia from the amended Article 2 shall commence application on 1 January 2025.

(2) From 31 December 2023 to 31 December 2024, the countercyclical capital buffer rate for the Republic of Slovenia determined in the previous Article 2, namely 0.5% of the total risk exposure, calculated in accordance with paragraph 3 of Article 92 of Regulation (EU) No 575/2013, shall apply.

(3) The data from paragraph 2 of Article 238 of the Banking Act (ZBan-3) will be published on the website of Banka Slovenije on the day the decision enters into force.

Article 4

(entry into force of the decision)

This decision shall enter into force on the fifteenth day after its publication in the Official Gazette of the Republic of Slovenia.