Guidelines were published on 18 December by EBA in relation to O-SIIs. The guidelines deal with the criteria to be taken into account in deciding whether an institution qualifies as systemically important at either European Union or Member State level. The Guidelines contain a two-step process:

  • Quantitative indicators (based on size, interconnectedness, importance to economy, etc.) with institutions being scored by competent authorities accordingly.
  • Competent authorities will also score Institutions on the basis of a closed list of optional indicators set out in the Guidelines, including for example the number of retail customers, number of subsidiaries, and the potential for certain contagion risks.

Institutions which meet the threshold in accordance with the mandatory quantitative indicators will be classified as O-SIIs, however national competent authorities may classify institutions falling short of this minimum quantitative level as O-SIIs on the basis of one or more of the optional indicators (which must be disclosed by the competent authority when determining an institution to be an O-SII).