Bulgarian Central Bank Reviews O-SII Buffer, Raises Level for UBB, DSK
Tuesday, 06 November 2018
The Bulgarian National Bank (BNB) said on Monday that it has reviewed the other systemically important institutions (O-SII) buffer of 10 banks, applicable to the total risk exposure amount on an individual and on consolidated basis.
In accordance with data as of the end of June, the central bank decided to raise the level of the O-SII buffer applicable to United Bulgarian Bank (UBB) and DSK Bank by 0.25 percentage points, to 0.75% for each of the two lenders, BNB data shows. The number of banks identified as O-SIIs in comparison to June 2017 has decreased by 1, as CIBANK was absorbed by United Bulgarian Bank earlier this year. Belgium's KBC Group, which held 100% of CIBANK, acquired a 99.91% stake in UBB from National Bank of Greece last year. In October, DSK Bank's majority owner - Hungarian banking group OTP, said it has signed agreements to buy majority stakes in the Albanian and Bulgarian units of French banking group Societe Generale. The transaction is still awaiting anti-trust clearance.
In accordance with data as of the end of June, the central bank decided to raise the level of the O-SII buffer applicable to United Bulgarian Bank (UBB) and DSK Bank by 0.25 percentage points, to 0.75% for each of the two lenders, BNB data shows. The number of banks identified as O-SIIs in comparison to June 2017 has decreased by 1, as CIBANK was absorbed by United Bulgarian Bank earlier this year. Belgium's KBC Group, which held 100% of CIBANK, acquired a 99.91% stake in UBB from National Bank of Greece last year. In October, DSK Bank's majority owner - Hungarian banking group OTP, said it has signed agreements to buy majority stakes in the Albanian and Bulgarian units of French banking group Societe Generale. The transaction is still awaiting anti-trust clearance.