Press Release

24th meeting of the FMSB

The meeting focused on the effects of the COVID-19 crisis on financial stability in Austria and an update of the board’s recommendations on the structural macroprudential capital buffers. In addition, the FMSB recommended leaving the countercyclical capital buffer rate unchanged at 0% of risk-weighted assets.

News

Recommendation FMSB/3/2020: guidance on adjusting the systemic risk buffer (SyRB) and the other systemically important institution (O-SII) buffer

The Financial Market Stability Board (FMSB) completed the review of the other systemically important institution (O-SII) buffer and the systemic risk buffer (SyRB) which it had launched at its 23rd meeting. It found that the application of these two macroprudential capital buffers has strengthened investors’ confidence in the Austrian banking system. In the current crisis, the buffers will work as intended by ensuring that banks have adequate capital at their disposal. Making use of this capital might in part restrict profit distribution and bonus payments, but will not result in any immediate supervisory sanctioning.

FMSB

Tasks of the FMSB

The Financial Market Stability Board (FMSB) has been established to strengthen cooperation in the field of macroprudential supervision and to promote financial market stability. The tasks of the FMSB have been defined in the Federal Act on the Institution and Organisation of the Financial Market Authority.