What is the scope of ‘intragroup counterparties’ for the purposes of classification of funding in COREP template C 67.00, column 050 (Product Type)? Is particular, can funding from a parent entity in a third country be considered ‘intragroup’?
“Product type” in column 050 of template C 67.00 should be reported using one of the following categories:
The classification as IGCP depends on the exact definition of “intragroup” that applies in this context. The reporting instructions do not specify exactly the intended scope, so it is not straightforward to establish whether it includes group members in third countries. In general, various definitions of “intragroup” can apply for different regulatory purposes in different contexts:
For the purpose of completing column 050 of the supervisory reporting template C 67.00 (“Concentration of funding by counterparty”) referred to in Annex XXII of amended Regulation (EU) No 680/2014 (ITS on Supervisory Reporting), the entry “IGCP” should be generally considered for all funding that is obtained from a counterparty which is a parent or a subsidiary of the institution or another subsidiary of the same parent or linked to the credit institution by a relationship within the meaning of Article 12(1) of Directive 83/349/EEC or a member of the same institutional protection scheme as referred to in Article 113(7) of Regulation (EU) No 575/2013 or the central institution or an affiliate of a network or cooperative group as referred to in Article 10 of Regulation (EU) No 575/2013).
Therefore, where an EU institution has obtained funding from a counterparty which meets any of the above conditions, such funding should – to the extent that the counterparty is not included in the relevant perimeter of consolidation of the reporting institution and provided that such funding needs to be reported in this template – be classified as “IGCP” under column 050 of this template. Referring to the concrete case referred to in the question of this Q&A, this would also apply to funding that the EU institution has obtained from its parent institution which is incorporated in a third country.