Wednesday October 25 2017
News Source: Global Exchanges
Focus: Credit Rating
Type: General
Country: Iceland
Link: https://en.fme.is/media/eftirlitsstarfssemi/FME-notification---oct-2017.pdf
On 17th October 2017, the Financial Supervisory Authority (FSA) confirmed that the Capital Buffer will be increased from 1% to 1.25% as of the 1st November.
The Buffer was first introduced in March 2016 under Article 86(d) of Act No 161/2002 on Financial Undertakings.
The primary purpose of the countercyclical capital buffer is to strengthen the resilience of the financial system against potential credit losses following excessive credit growth and the resultant accumulation of cyclical systemic risk.
In addition the Council considers other indicators to get a comprehensive evaluation of the state of the financial cycle.
For additional information please click the link above