Royal Decree of 30 October 2025 Approving the National Bank of Belgium Regulation of 1 October 2025 on the Countercyclical Tier 1 Core Capital Conservation Buffer Rate and the Systemic Risk Buffer for Residential Real Estate Exposures

FEDERAL PUBLIC SERVICE FINANCES
[C − 2025/008459]
30 OCTOBER 2025. — Royal Decree approving the regulation of the National Bank of Belgium of 1 October 2025 determining the countercyclical tier 1 core capital conservation buffer rate and imposing a tier 1 core capital buffer for the systemic risk associated with exposures to individuals and small entities concerning natural persons, secured by non-commercial immovable property located in Belgium.

PHILIP, King of the Belgians,
To all who are and who shall be hereafter, Greeting.

Having regard to the Act of 22 February 1998 establishing the organic statute of the National Bank of Belgium, Articles 12bis, § 2 and 36/34, § 2; Having regard to the Act of 25 April 2014 on the status and supervision of credit institutions, Article 96, § 1, 2° and 4° and § 2, Article 98, first paragraph, a) and Article 5, §§ 1, 2 and 4 and Articles 16 and 16/1, b) i) and f) of Annex IV; Having regard to the Act of 20 July 2022 on the status and supervision of stock exchange companies, Article 108, which declares Articles 96, § 1, 2° and § 2, Article 98, first paragraph, a) and Article 5, §§ 1, 2 and 4 of Annex IV to the aforementioned Act of 25 April 2014 applicable to large stock exchange companies as defined in Article 3, 5° of the aforementioned Act of 20 July 2022; Having regard to the opinion of the Financial Inspection, given on 9 October 2025; Having regard to the approval finding of the Minister of Budget, given on 23 October 2025; On the proposal of the Minister of Finance, We have decided and hereby decide:

Article 1. The regulation of the National Bank of Belgium of 1 October 2025 attached to this Decree, determining the countercyclical tier 1 core capital conservation buffer rate and imposing a tier 1 core capital buffer for the systemic risk associated with exposures concerning individuals and small entities regarding natural persons, secured by non-commercial immovable property located in Belgium, is approved.

Art. 2. This Decree enters into force on 1 January 2026.

Art. 3. The Minister responsible for Finance is charged with the implementation of this Decree.

Given in Brussels, 30 October 2025.

PHILIP
By the King:
The Minister of Finance,
J. JAMBON

Annex to the Royal Decree of 30 October 2025 approving the regulation of the National Bank of Belgium of 1 October 2025 determining the countercyclical tier 1 core capital conservation buffer rate and imposing a tier 1 core capital buffer for the systemic risk associated with exposures concerning individuals and small entities regarding natural persons, secured by non-commercial immovable property located in Belgium.

The National Bank of Belgium,
Having regard to the Act of 22 February 1998 establishing the organic statute of the National Bank of Belgium, Articles 12bis, § 2 and 36/34, § 2; Having regard to the Act of 25 April 2014 on the status and supervision of credit institutions, Article 96, § 1, 2° and 4° and § 2, Article 98, first paragraph, a) and Article 5, §§ 1, 2 and 4 and Articles 16 and 16/1, b), i) and f) of Annex IV to the same Act; Having regard to the Act of 20 July 2022 on the status and supervision of stock exchange companies, Article 108, which declares Articles 96, § 1, 2° and § 2, Article 98, first paragraph, a) and Article 5, §§ 1, 2 and 4 of Annex IV to the aforementioned Act of 25 April 2014 applicable to large stock exchange companies as defined in Article 3, 5° of the aforementioned Act of 20 July 2022;

Considering that Article 5, § 1 of Annex IV to the Act of 25 April 2014, which transposes Article 136 of Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 concerning access to the activity of credit institutions and the prudential supervision of credit institutions (hereinafter “Directive 2013/36/EU”), provides that the National Bank of Belgium sets the countercyclical buffer rate for relevant credit risk exposures to counterparties established on Belgian territory;

Considering that the Bank sets or, if necessary, adjusts this rate based on the quarterly assessment of several reference indicators reflecting the intensity of cyclical systemic risk and risks due to excessive credit growth in Belgium and taking into account the specific characteristics of the Belgian economy;

Considering that, based on the financial stability risk analyses in Belgium, it is justified to increase the overall resilience of the banking sector to ensure that this sector can withstand potential significant shocks, while simultaneously relaxing requirements regarding non-commercial immovable property located in Belgium;

Considering that, in accordance with Article 5, § 4 of Annex IV to the aforementioned Act of 25 April 2014, the Bank sets the date from which the concerned institutions must apply the thus determined rate;

Considering that the uncertain economic climate with which the financial sector is confronted constitutes an exceptional circumstance justifying that the countercyclical buffer rate be increased in the short term;

Considering that setting the countercyclical buffer rate at 1.25 percent from 1 July 2026, i.e., 6 months after the date on which the increase in the rate is announced, meets the aforementioned objective;

Furthermore, considering that Articles 16 and 16/1 of Annex IV to the Act of 25 April 2014, which transpose Article 133 of Directive 2013/36/EU, allow the National Bank of Belgium to require credit institutions or one or more subgroups of credit institutions to apply a buffer composed of tier 1 core capital, on an individual, sub-consolidated and consolidated basis, for all exposures or a segment of exposures, to anticipate or mitigate the impact of systemic or macro-prudential risks not covered by Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 concerning prudential requirements for credit institutions and by national provisions transposing Articles 130 and 131 of the aforementioned Directive, understood as structural risks of disruption to the financial system that may have serious consequences for the stability of the financial system and the real economy in Belgium;

Considering that the vulnerabilities in the portfolios of Belgian mortgage loans have been reduced to such an extent that a limited extension of the buffer for the systemic risk associated with exposures secured by non-commercial immovable property located in Belgium is sufficient until the overall resilience of the banking sector is increased through the higher countercyclical capital buffer;

Considering that imposing a tier 1 core capital buffer calculated by multiplying the weighted amount of exposures concerning individuals and small entities regarding natural persons, secured by non-commercial immovable property located in Belgium, by 6 percent, allows covering the aforementioned systemic risk.

Decides:

Article 1 – Definitions
§ 1. For the purposes of this regulation, the following definitions apply:

1° “the Bank”: the National Bank of Belgium;
2° “the Act of 25 April 2014”: the Act of 25 April 2014 on the status and supervision of credit institutions; 3° “the Act of 20 July 2022”: the Act of 20 July 2022 on the status and supervision of stock exchange companies; and 4° “Regulation 575/2013”: Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 concerning prudential requirements for credit institutions.

Article 2 – Countercyclical Tier 1 Core Capital Conservation Buffer Rate

For credit institutions under Belgian law as referred to in Book II and in Book III, Title II of the Act of 25 April 2014, as well as for stock exchange companies under Belgian law as referred to in Book II of the Act of 20 July 2022 that are considered large stock exchange companies within the meaning of Article 3, 5° of the Act of 20 July 2022, the Bank, respectively in accordance with Article 5, § 2 of Annex IV to the Act of 25 April 2014 and Article 108 of the Act of 20 July 2022, which declares the aforementioned Article 5, § 2 applicable to large stock exchange companies, sets the countercyclical tier 1 core capital conservation buffer rate for relevant credit risk exposures to counterparties established on Belgian territory at 1.25 percent, applicable from 1 July 2026.

The conservation buffer rate applies until one of the Bank’s quarterly assessments leads to the determination of a new rate.

Relevant credit risk exposures are determined on an individual and consolidated basis, in accordance with the technical standards referred to in Article 3, second paragraph of Annex IV to the Act of 25 April 2014.

Article 3 – Tier 1 Core Capital Buffer for Systemic and Macro-prudential Risks

§ 1. Credit institutions as referred to in Book II of the Act of 25 April 2014 using the internal ratings-based approach referred to in Part III (Capital Requirements), Title II, Chapter 3 of Regulation 575/2013, apply a tier 1 core capital buffer for systemic and macro-prudential risks on an individual, sub-consolidated and consolidated basis, the amount of which is calculated by multiplying the weighted amount of exposures concerning individuals and small entities regarding natural persons, secured by non-commercial immovable property located in Belgium, by 6 percent.

The weighted amount of the exposures referred to in the first paragraph is calculated in accordance with Article 154 of Regulation 575/2013.

§ 2. The measure referred to in paragraph 1 ceases to apply on 1 July 2026.

Article 4 – Repeal Provision - Entry into Force

§ 1. This regulation serves to repeal and replace the regulation of the National Bank of Belgium of 4 July 2023 determining the countercyclical tier 1 core capital conservation buffer rate and imposing a tier 1 core capital buffer for the systemic risk associated with exposures concerning individuals and small entities regarding natural persons, secured by non-commercial immovable property located in Belgium, approved by Royal Decree of 5 September 2023.

§ 2. This regulation enters into force on 1 January 2026.

Brussels, 1 October 2025.

The Governor,
P. Wunsch

Seen to be attached to our Decree of 30 October 2025 approving the regulation of the National Bank of Belgium of 1 October 2025 determining the countercyclical tier 1 core capital conservation buffer rate and imposing a tier 1 core capital buffer for the systemic risk associated with exposures concerning individuals and small entities regarding natural persons, secured by non-commercial immovable property located in Belgium.

PHILIP
By the King:
The Minister of Finance,
J. JAMBON