MNB Moves Forward With Phase-in of Capital Buffer Rates
The National Bank of Hungary (MNB) has announced it is moving forward as planned with a phase-in of capital buffers for "systemically important" banking groups, according to a release on its website.
The central bank and financial market watchdog noted that it had lifted capital buffer requirements for systemically important credit institutions from July 1, 2020, because of the extraordinary circumstances caused by the coronavirus pandemic, but started rebuilding the requirements gradually from 2022.
In 2022 and 2023, the transitional buffer rates increased by one-quarter of the final rates, and from 2024 onwards, the MNB expects compliance with the final buffer rates.
Following its assessment in 2023, the MNB deemed the capital position and lending activity of systemically significant banks sufficient to complete the phase-in of the buffers along the path envisaged in 2020.
"The [MNB] will modify the final buffer rates if material future changes in the systemic importance of the credit institutions necessitate adjustments during the annual revisions," the central bank said.
Government Acknowledges Drop in Motor Fuel Prices
EU Affairs Ministry, AmCham Sign Strategic Partnership Deal
The Makings of the Future Smart Electricity Network
Aldi Opening Biggest Store in Budapest
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
