D 2018

Setting Countercyclical Capital Buffer Throughout the Financial Cycle

FRAIT, Jan, Jan HÁJEK and Miroslav PLAŠIL

Basic information

Original name

Setting Countercyclical Capital Buffer Throughout the Financial Cycle

Name in Czech

Stanovování proticyklické kapitálové rezervy v průběhu finančního cyklu

Authors

FRAIT, Jan, Jan HÁJEK and Miroslav PLAŠIL

Edition

1. vyd. University of Warsaw, Poland, 27 th International Scientific Conference on Economic and Social Development, p. 111-119, 9 pp. 2018

Publisher

Economic and Social Development

Other information

Language

English

Type of outcome

Stať ve sborníku

Field of Study

50206 Finance

Country of publisher

Poland

Confidentiality degree

není předmětem státního či obchodního tajemství

Publication form

electronic version available online

Organization unit

Institute VSFS

ISSN

Keywords (in Czech)

proticyklická kapitálová rezerva, mezera credit-to-GDP, úvěrové ztráty finanční cyklus

Keywords in English

countercyclical capital buffer; credit-to-GDP gap; credit losses; financial cycle

Tags

Reviewed

Links

GA16-21506S, research and development project.
Změněno: 24/7/2018 14:04, Ing. Dominika Moravcová

Abstract

V originále

Basel III regulatory framework an important macroprudential instrument: a countercyclical capital buffer. This instrument is designed to reduce the consequences of worsened access of firms and households to banking credit in bad times. This paper proposes the approach to the countercyclical capital buffer using the experience of the Czech National Bank. It describes its decision-making process from assessing the position of the economy in the financial cycle through to setting the buffer rate. The approach that can be labelled discretion guided by multiple-factor analysis builds upon the signals from both individual and composite indicators of financial cycle and systemic risk. The paper then describes the factors that the macroprudential authority takes into account when setting the specific countercyclical capital buffer rate.

In Czech

Basel III regulatory framework an important macroprudential instrument: a countercyclical capital buffer. This instrument is designed to reduce the consequences of worsened access of firms and households to banking credit in bad times. This paper proposes the approach to the countercyclical capital buffer using the experience of the Czech National Bank. It describes its decision-making process from assessing the position of the economy in the financial cycle through to setting the buffer rate. The approach that can be labelled discretion guided by multiple-factor analysis builds upon the signals from both individual and composite indicators of financial cycle and systemic risk. The paper then describes the factors that the macroprudential authority takes into account when setting the specific countercyclical capital buffer rate.

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