(Tiper Stock Exchange) – UniCredit communicated that the Pillar 2 Capital Requirement (P2R)”could increase slightly” compared to the current level of 175 basis points. The clarification came after preliminary communications from the ECB and following press rumors regarding the 2022 Supervisory Review and Evaluation Process (SREP) and the P2R.
Indeed, Bloomberg wrote, quoting people familiar with the matter, that UniCredit is addressing the prospect of higher capital requirements next year, with the ECB seeking to ensure the bank’s resilience against the risks of Russia’s war in Ukraine and economic downturn.
The bank led by Andrea Orcel also highlighted that the Maximum Distributable Amount (“MDA”) buffer as at 30 September 2022 was very large and equal to 635 basis points. “There is therefore no impact on distribution policies of UniCredit for 2022 and for the future, on the funding plan or on the capital target, which remain as per the guidance”, reads the note.
UniCredit will provide the market with a further update after receiving the formal letter from the SREP with the final result.
As of September 30th 2022, i capital ratios of UniCredit on a consolidated basis were as follows: 15.41 per cent CET 1 ratio, fully loaded; 16.04 per cent CET 1 ratio, transitional; 17.94 per cent Tier 1 ratio, transitional; 20.76 per cent Total Capital ratio, transitional.