The total SREP capital requirement for BNG Bank is 10.25%, effective as of 1 January 2021.
This total SREP capital requirement consists of (i) the minimum CET1 requirement under Pillar 1 (4.5%), (ii) the Pillar 1 Additional Tier 1 requirement (1.5%), (iii) the Pillar 1 Tier 2 requirement (2%), (iv) the Pillar 2 CET1 capital requirement (Pillar 2 requirement, 2.25%). Including the buffer requirements (the capital conservation buffer (CCB, 2.5% CET1), the countercyclical buffer (CCY, 0.0%) and the Other Systemic Important Institution buffer (OSII, 1.00%)), this results in an Overall Capital Requirement of 13.75%.
As of 30 June 2020, the Tier 1 capital ratio amounts to 36%. As such, BNG Bank’s capitalization is substantially above the ECB requirement.