Question ID
2021_6026
Legal act
Regulation (EU) No 575/2013 (CRR)
Topic
Supervisory reporting - Liquidity (LCR, NSFR, AMM)
Article
430
COM Delegated or Implementing Acts/RTS/ITS/GLs/Recommendations
Regulation (EU) 2021/451 – ITS on supervisory reporting of institutions (repealed)
Article/Paragraph
Annex XIII
Name of institution / submitter
Idea Bank
Country of incorporation / residence
Romania
Type of submitter
Credit institution
Subject matter
Definition of "accounting value" for the purpose of template C 80.00
Question

Should the assets, except for the derivatives contracts,  be presented in template C 80 from Regulation (EU) 451/2021 as gross accounting value (not affected by  general and specific allowances) or as net (affected by  general and specific allowances)? 

Background on the question

In the guidance annexes for NSFR C80 template (Annex XIII) from Regulation (EU) 451/2021, it is specified that for reporting purposes, in the columns referred to as "Amount", the accounting value should be reported, except in the case of derivative contracts. Article 428 c of Regulation (EU) no 876/2019 provides that institutions shall take into account assets, liabilities and off-balance sheet items on a gross basis. It is unclear whether gross basis refers to the accounting value.

Submission date
Final publishing date
Final answer

In accordance with Article 428c(2) of Regulation (EU) No 575/2013 as amended by Regulation (EU) No 2019/876 (hereinafter the ‘CRR’), for the purpose of calculating their net stable funding ratio (NSFR), institutions shall apply the appropriate stable funding factors set out in Chapters 3 and 4 to the accounting value of their assets, liabilities and off-balance-sheet items, unless otherwise specified in this Title.

The specification under Article 428c(1) CRR, according to which, unless otherwise specified, institutions shall take into account assets, liabilities and off-balance-sheet items on a gross basis, shall solely be understood as limiting the possibility of netting beyond what is already permissible under the relevant accounting rules.

As such, for the purpose of the NSFR (and reporting in accordance with Annex XIII to Regulation (EU) 2021/451), and unless otherwise stated in Part Six, Title IV, CRR, an asset should be recorded by its net accounting value, i.e., the amount reported in the balance sheet.

Status
Final Q&A
Answer prepared by
Answer prepared by the EBA.

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