2011 Recapitalisation Exercise

Following the press release dated 27 October 2011, the CSSF publishes the banking recapitalisation measures as confirmed by the European Banking Authority (EBA) in charge of coordinating these measures.


In accordance with EBA's recommendation of 8 December 2011, based on a decision taken at the EU summit on 26 October 2011, the national authorities supervising 71 European banks must ensure that, as from end of June 2012, the banks concerned have a temporary capital buffer allowing them to comply with a capital ratio "Core Tier 1" of  9% after taking into account the unrealised losses linked to exposures to the European public sector.


While in Luxembourg only the Banque et Caisse d'Epargne de l'Etat, Luxembourg (BCEE) is included in the sample of 71 banks, the measures indirectly cover a large part of the Luxembourg banking sector's exposures as a whole. That is the case for the exposures of Luxembourg bank subsidiaries whose parent company is included in the sample on a consolidated basis.


The EBA confirmed that the BCEE already meets the requirements. Consequently, there is no recapitalisation measure required for BCEE. Details of this assessment are available below: 


Individual result of the Luxembourg bank participating in the EBA's recapitalisation test:


Banque et Caisse d'Epargne de l'Etat, Luxembourg 


Please also refer to EBA's press release: http://www.eba.europa.eu/


CSSF press release regading the decision to recapitalise European banks:


CSSF press release 11/46 regarding the decision to recapitalise European banks