9. With respect to compliance with the capital requirements of Directive 2013/36/EU, including …

With respect to compliance with the capital requirements of Directive 2013/36/EU, including Article 104(2) of Directive 2013/36/EU, and to the potential infringement of these requirements by the provision of financial support, providing entities and competent authorities should apply the following:

• (a) The providing entity should submit to the competent authority a reasoned statement that the institution meets these capital requirements and that the provision of the support would not result in a decrease in the providing entity’s capital ratio to a level where the combined buffer requirement is no longer met, or the providing entity should apply for authorisation of non-compliance with these requirements.
• (b) If the providing entity does not meet the combined buffer requirement, or the provision of the support would result in a decrease in the providing entity’s capital ratio to a level where the combined buffer requirement would no longer be met, the competent authority should decide whether to authorise the provision despite this non-compliance based on the capital conservation plan for the providing entity. The provision of the support should be consistent with the capital conservation plan.
• (c) When assessing whether to authorise the provision of support despite non-compliance with the abovementioned requirements in the light of the capital conservation plan, the competent authority should assess the plausibility of the capital conservation plan and take into account in particular the following:
• i) the expected timeframe for the restoration of the Common Equity Tier 1 capital of the providing entity;
• ii) the significance of the capital shortfall;
• iii) the best interest of the providing entity, including indirect benefits resulting from the stabilisation of the group as a whole;
• iv) the purpose of the capital buffers concerned; and
• v) the risks and benefits of the authorisation for financial stability.
• (d) Without prejudice to points (a), (b) and (c) above, if the providing entity is a subsidiary of the receiving entity, or the providing entity and the receiving entity are subsidiaries of the same group entity, the competent authority, when assessing whether to authorise the provision of support despite non-compliance with these requirements, should also take into account whether the provision of the financial support is necessary to prevent:
• i) the failure of the receiving entity, which would otherwise be likely;
• ii) the destabilisation of the group as a whole resulting from this failure; and
• iii) adverse effects on financial stability resulting from the destabilisation of the group.

The competent authority should take into account information provided by the competent authority responsible for the receiving entity.

• (e) If the competent authority for the providing entity authorises the provision of support despite non-compliance, it should specify the maximum duration and the conditions of the authorisation despite non-compliance in its decision.
• (f) Points (a) to (e) are without prejudice to any waiver pursuant to Articles 7 or 15 of Regulation (EU) No 575/2013.

1. Forbhreathnú

1.1 Tagairtí

• Airteagal 7 Maolú ar chur chun feidhme ceanglas stuamachta ar bhonn aonair

1.2 Ceanglais aitheanta

1.3 Caighdeáin ghaolmhara

2. Ceanglais aitheanta

3. Caighdeáin ghaolmhara

• EBA - Published by the European Banking Authority at https://www.eba.europa.eu/