List of other systemically important institutions

Under Article 131 of CRD IV and Article 12(w) of the Act on Banks, Article 8at of the Act on Credit Unions and Article 9at of the Capital Market Undertakings Act, the CNB is obliged to draw up a list of other systemically important institutions (“O-SIIs”) and review the list at least once a year.

In reviewing the O-SII list, the CNB fully follows the guidelines of the EBA (EBA/GL/2014/10, "Guidelines”). In accordance with paragraph 5 of the Guidelines, it calculates a score for each relevant institution at the highest consolidation level of the part of the group that falls under its jurisdiction, including subsidiaries in other Member States and third countries. The CNB applies two discretions allowed by the Guidelines. In accordance with paragraph 12 of the Guidelines, it exempts investment firms from the calculation, as they do not play an important enough role in the Czech financial system. In accordance with paragraph 9 of the Guidelines, it raises the threshold for designating entities as O-SIIs from the base level (350 basis points, i.e. 3.5%) to the highest level allowed by the Guidelines (425 basis points, i.e. 4.25%). This aims to ensure the highest possible homogeneity of the group of O-SIIs.

In the regular review conducted in November 2018 using mid-2018 data, the following consolidated groups were designated as O-SIIs for 2019 given the threshold of 4.25%:

Other systemically important institutions Score in %
Československá obchodní banka 20.7
Česká spořitelna 15.8
Komerční banka 14.7
UniCredit Bank Czech Republic and Slovakia 10.6
PPF Financial Holdings B.V. (relevant entity: PPF banka) 7.3
Raiffeisenbank 4.4

In accordance with paragraph 13 of the Guidelines, the CNB also assessed as part of the regular review whether further relevant institutions should be designated as O-SIIs. Given its relatively high score and its O-SII status, the following regulatory consolidated group was also designated as an O-SII for 2019:

Other systemically important institutions Score in %
Jakabovič & Tkáč (relevant entity: J&T banka) 3.4

The CNB does not currently consider it necessary to set an additional capital requirement for banks that are members of the relevant regulatory consolidated groups due to their designation as O-SIIs. Banks with a high degree of domestic systemic importance are obliged to maintain a  systemic risk buffer.

List of other systemically important institutions and the capital buffer rate

Name of consolidated group Status in 2016 Status in 2017 Status in 2018 Status in 2019
Included
in the list
Rate Included
in the list
Rate Included
in the list
Rate Included
in the list
Rate
Československá obchodní banka Yes - Yes - Yes - Yes -
Česká spořitelna Yes - Yes - Yes - Yes -
Komerční banka Yes - Yes - Yes - Yes -
UniCredit Bank Czech Republic and Slovakia Yes - Yes - Yes - Yes -
PPF Financial Holdings B.V. Yes - Yes - Yes - Yes -
Raiffeisenbank Yes - Yes - Yes - Yes -
Jakabovič & Tkáč Yes - Yes - Yes - Yes -