News & Press
The EBA publishes its final Guidelines on Acquisition, Development and Construction exposures to residential property under the standardised approach of credit risk
Press Release
The European Banking Authority (EBA) today published its final Guidelines on the treatment of Acquisition, Development and Construction (ADC) exposures to residential property under the Capital Requirements Regulation (CRR). The Guidelines specify the conditions under which institutions may apply a risk weight of 100% instead of 150% to ADC exposures that meet defined credit risk-mitigating requirements. These Guidelines form part of the first phase of the EBA’s roadmap on credit risk implementation of the EU Banking Package. The Guidelines follow a public consultation launched in May 2024 and take into account stakeholder feedback as well as data collected through the related 2024 Quantitative Impact Study (QIS).