IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Outflow

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 31 Dec 2011 | Removal date: open ended
Still in force

Controls on credit operations

On 21 November 2011, Austrian financial market regulators tightened international lending standards for domestic banks. In a joint statement of the Austrian National Bank (OeNB) and the Financial Market Authority (FMA), the regulators announced changes to make the domestic financial system "more sustainable". The measures shall come into effect by year's end.
 
Among the announced measures is a cap on the loan-to-deposit ratio for operations in Central, Eastern and Southeastern Europe (CESEE countries). The ratio shall no longer exceed 1.1 or 110 percent thus curbing lending in the region.
 
Further measures included in the package are an early fullfilment of "Basel III" capital ratio standards. Austrian banks shall reach these requirements by 2013, thus skipping the transition period. In addition, Austrian banks shall add up to an extra 3 percent of core capital depending on their business model by 2016. Finally, banks are requested to provide a "Living Will" as well as a "Resolution Scheme" to the regulators at an unspecified date.

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

Please report this page in case you detect an inaccuracy in its content.