Finansinspektionen (FI ) intends to raise the countercyclical buffer rate to 2 per cent in Q2 2022.
Karin Lundberg, Executive Director of Banking, talked about Finansinspektionen’s view on capital and distributions in a speech at the UBS Annual Nordic Financial Services Conference.
Uncertainty is decreasing, and the economy is continuing to recover. Therefore, the recommendation regarding restrictions on dividends will not be extended. The recommendation ends on 30 September 2021.
During an extraordinary meeting today, Monday, 16 March, FI’s Board of Directors decided to adopt a countercyclical buffer rate of 0 per cent in accordance with the proposal presented on Friday, 13 March 2020.
Finansinspektionen proposes that the buffer rate be lowered by 2.5 percentage points and set at 0 per cent.
The spread of the coronavirus disease (COVID-19) is having a financial impact on firms and households around the world. There is considerable uncertainty about how much the disease will impact the global economy. This economic uncertainty also affects the financial system.