In its annual report on the Austrian economy (known as the Article IV Consultation), the International Monetary Fund (IMF) also analyses the situation of the Austrian financial sector. The IMF has determined that “the financial sector remains healthy” and that “macroprudential measures are broadly appropriate”, but that “continued vigilance on potential credit risks is warranted”. The IMF recommends supervisory authorities to ensure that banks “strictly adhere” to the sustainable loan origination criteria for residential real estate lending, as they are “consistent with international standards for prudent underwriting”. The IMF welcomes the introduction of a sectoral systemic risk buffer (SSyRB) in relation to the financing of commercial real estate.
The full report can be downloaded from the IMF website.