The CBCG adopts macro-prudential measures as a part of its activities aimed at preserving financial stability and which target the prevention and/or mitigation of certain systemic risks.
First of all, the CBCG prescribes capital buffers as an additional layer of capital to be used by credit institutions. Capital buffers were introduced under the Law on Credit Institutions (OGM 72/19, 82/20, 8/21), which transposes the provisions of the CRD IV (Regulation (EU) No. 575/2013 and Directive 2013/36/EU), that implements the Basel III framework into the EU. The Law on Credit Institutions has been in effect since 1 January 2022 and the buffers are regulated in part “V Capital requirements”, subsection “2. Capital conservation buffer.” There are four capital buffers: the capital conservation buffer, the countercyclical capital buffer, the structural systemic risk buffer, and the O-SI credit institution buffer.
In addition to capital buffers, the Decision on Macroprudential Measures Related to Retail Loans Granted by Credit Institutions (OGM 138/21, 144/22) are applied. With these measures, the CBCG seeks to prevent the accumulation of risks in the segment of retail loans which are not adequately collateralised and which have recorded strong growth over recent years.
The Decision on Interim Measures to Mitigate Negative Impact of the Communicable Disease COVID-19 Epidemic and the Situation in Ukraine on the Financial System (OGM 135/22, 69/23) is also in effect. They do not have the character of macro-prudential measures in the strictest sense (save for some individual segments), but they have nonetheless been introduced in order to preserve the stability of the financial system.
In line with its Macroprudential Policy Framework, the CBCG may deploy other available macro-prudential measures with a view to preserving financial stability as it had done before the adoption of the Law on Credit Institutions and as it continues to do.