Book traversal links for Article (9): Transitional Arrangements
Article (9): Transitional Arrangements
C 52/2017 Effective from 23/2/2017- For the purpose of the value calculation of the following items:
- Regulatory adjustments referred to in Article 4.1 of these Regulations; and
- Capital issued from a subsidiary, also referred to as minority interest;
banks must apply the following percentages:
- a) 80% for the time period from 1st January 2017 to 31st December 2017;
- b) 100% for the time period starting from 1st January 2018.
- Capital instruments that no longer qualify as non-common equity Tier 1 capital or Tier 2 capital will be phased out over a time horizon of 10 years, starting from 1st January 2017. The detailed phasing out rules of such capital instruments will be set out in the Standards.
- Capital instruments included in CET1 that do not meet the requirements of these Regulations will be excluded from CET1 starting from 31st December 2017.
- Table 2: Minimum Transitional Arrangements:
Table 2: Minimum Transitional Arrangements | ||||
Capital Element | Basel II 2016 | Basel III 2017 | Basel III 2018 | Basel III 2019 |
Minimum Common Equity Tier 1 Ratio | - | 7.0% | 7.0% | 7.0% |
Minimum Tier 1 Capital Ratio | 8.0% | 8.5% | 8.5% | 8.5% |
Minimum Capital Adequacy Ratio | 12.0% | 10.5% | 10.5% | 10.5% |
Capital Conservation Buffer | - | 1.25% | 1.875% | 2.5% |
Domestic Systemically Important Banks Buffer; in percentage of individual capital surcharge | - | 50% | 75% | 100% |
Countercyclical buffer | - | -0% 1.25% | -0% 1.875% | 2.5%-0% |