12. If provision of the support would cause the providing entity to cease to comply with the …

If provision of the support would cause the providing entity to cease to comply with the relevant limitations of Regulation (EU) No 575/2013 relating to large exposures, including any national legislation or supervisory decisions of general application exercising options provided in those provisions, the competent authority should decide whether to authorise the provision of support despite this non-compliance, taking into account the following:

• (a) the period of time during which the providing entity does not comply with the relevant exposure limits;
• (b) the significance of the non-compliance;
• (c) the providing entity’s plan for eliminating the non-compliance;
• (d) the best interest of the providing entity, including indirect benefits resulting from the stabilisation of the group as a whole; and
• (e) the risks and benefits of the authorisation for financial stability. If the competent authority for the providing entity authorises the provision despite the infringement of any large exposures requirement, it should specify the maximum duration and the conditions of the authorisation despite non-compliance in its decision.

1. Overview

1.1 References

1.2 Identified Requirements

1.3 Related Standards

2. Identified Requirements

3. Related Standards

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