You are here: 

FMA and OeNB support the measures taken by the Single Supervisory Mechanism – using regulatory leeway should contribute towards maintaining the provision of loans for firms and households

Release Date: |

The European Central Bank (ECB) today announced further measures for the banks that it directly supervises within the Single Supervisory Mechanism (SSM) to support the funding of corporations and households in light of the economic impact of COVID-19.

The SSM ensures that banks will be able to make use of regulatory leeway in the treatment of non-performing loans, in particular with regard to making use of government-backed guarantees. In addition, procyclical effects should be avoided for value adjustments within the scope of the IFRS-9 accounting framework. These measures are being taken in addition to the capital relief measures that were already announced on 12 March 2020.

Austrian banks in a good position

FMA and OeNB both support these measures by the SSM, while at the same time also emphasising that Austria’s banks are in a good position to overcome the economic impact of the current Corona crisis and to support Austria’s real economy to the best of their ability. The package of measures and assistance passed by Austria’s Federal Government ensures this in a consistent manner, commented the Executive Directors of the Austrian Financial Market Authority (FMA), Helmut Ettl and Eduard Müller, as well as the Deputy Governor of the OeNB, Gottfried Haber, in unison. Austrian banks have not only reduced their non-performing loans to a large extent, but have also doubled their tier 1 capital ratios in the last decade, and have thereby established capital buffers for crisis events.

Journalists may address further enquiries to:

Klaus Grubelnik (FMA)
Tel.: +43/(0)1/24959-6006, or +43/(0)676/88 249 516

Christian Gutlederer (OeNB)
Tel.: +43 / (0)1 / 404 20- 6900,

Next news entry: »