Instruction No. 11/2020

Instruction No. 11/2020
BO No. 4/2020 2nd Supplement • 2020/04/20
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Topics
Markets :: Money Markets
Mod. 99999940/T – 01/14
Index
Text of the Instruction
Text of the Instruction
Subject: Implementation of monetary policy – Additional temporary measures On 7 April 2020, the Governing Council of the ECB approved ECB Guideline (EU) 2020/515, which amends ECB Guideline ECB/2014/31, on additional temporary measures concerning Eurosystem refinancing operations and the eligibility of collateral assets (ECB/2020/21), as well as ECB Guideline ECB/2020/NP13, which introduces amendments to ECB Guideline ECB/2013/NP15, establishing the minimum eligibility and standard risk control for additional eligible credit rights under the temporary measures. Thus, in exercise of the competence attributed to it by Articles 12, 15, 16 and 24 of its Organic Law, approved by Law No. 5/98 of 31 January, in its current version, the Bank of Portugal determines the following:
Instruction No. 7/2012 (BO No. 3, of 15-03-2012) is amended as follows:

1. Number II.1.3 is amended, being replaced by the following:
2. Number II.2.1 is amended, being replaced by the following:
   II.2.1 Credit Rights
   The following credit rights are admitted:
   Level 1&2
   (PD: 0.1%)
   Level 3
   (PD: 0.4%)
   Level 4
   (PD: 1.0%)
   Level 5
   (PD: 1.5%)
   Residual Term
   Fixed Coupon
   Variable Coupon
   Fixed Coupon
   Variable Coupon
   Fixed and Variable Coupon
   Fixed and Variable Coupon
   Up to 1 year
   6.4
   6.4
   12
   12
   28
   40
   1 to 3 years
   9.6
   6.4
   22.4
   12
   38.4
   48
   3 to 5 years
   12.8
   6.4
   29.2
   12
   41.6
   51.2
   5 to 7 years
   14.8
   9.6
   34.4
   22.4
   44
   52.8
   7 to 10 years
   19.2
   12.8
   36
   29.2
   45.6
   54.4

10 years
28
14.8
38.4
34.4
48
56