We also expect, as does the ECB, that the relief measure allowing banks to use their capital buffers and Pillar 2 Guidance (P2G) will not be extended either for the LSIs under our direct supervision. This means that from 1 January 2023, LSIs are also expected to operate above the level of their Combined Buffer Requirement and their P2G. This early communication is planned to provide time for institutions to meet their P2G targets and design appropriate capital plans.
For more information, please call Tobias Oudejans at +31 20 524 3100 or +31 6 524 96 961.