DNB handhaaft de Contracyclische Kapitaalbuffer (CCyB) op 1 procent – maart 2023

The Centralbank of the Netherlands (DNB) has announced that it will leave the countercyclical capital buffer (CCyB) at 1%. The decision follows a careful analysis of economic conditions primarily influenced by the continuing political tensions and globally rising interest rates due to high inflation levels.
„The purpose of the CCyB is to increase banks‘ resilience as cyclical systemic risks build up, and to release the buffer as soon as such risks materialise. This gives banks additional headroom to absorb losses in bad times, and allows them to continue supporting lending to businesses and consumers. This can limit the immediate impact of a crisis on the real economy. The CCyB applies to domestic exposures and has a mandatory reciprocity of up to 2.5%. Foreign banks with exposures in the Netherlands must also comply with the Dutch 1% CCyB requirement.“
The DNB also points out that there are signs that the local economic situation is somewhat stabilizing, although the situation is still volatile. Therefore, the DNB will leave the countercyclical capital buffer unchanged, but will continue to closely monitor macroeconomic factors and adjust the CCyB at short notice, if so needed.