Press Release

39th meeting of Austria’s Financial Market Stability Board

In its 39th meeting on December 11, 2023, the Financial Market Stability Board (FMSB) evaluated the countercyclical capital buffer (CCyB) and discussed recent developments in commercial and residential real estate financing.

News

Recommendation FMSB/6/2023: guidance on applying the countercyclical capital buffer (CCyB)

The latest recommendation of Austria’s Financial Market Stability Board (FMSB) to the Financial Market Authority (FMA), in line with Article 23a para. 1 Austrian Banking Act, is to leave the countercyclical capital buffer (CCyB) unchanged at a rate of 0% of risk-weighted assets. Capital levels that are adequate by European standards and prudent risk provisioning are necessary to help mitigate the impact of cyclical risks, given that uncertainties are rising, as are credit risks against the backdrop of higher interest rates, and the economy is cooling. Retaining profits is an effective means to strengthen the capital base, especially in times of high profits from interest income.

Press Release

38th meeting of Austria’s Financial Market Stability Board

In its 38th meeting on October 2, 2023, the Financial Market Stability Board (FMSB) evaluated the other systemically important institutions (O-SII) buffer and the countercyclical capital buffer (CCyB) and discussed recent developments in residential real estate financing.