OSLO, March 16 Norway will not make additional
changes to its countercyclical capital buffer requirement for
banks, the finance ministry said in a statement on Thursday.
The decision was in line with a recommendation from the
In December, the ministry decided that banks should hold a
countercyclical buffer of 2.0 percent by the end of 2017, an
increase from 1.5 percent.
The buffer, set by the ministry, aims to force banks to
accumulate extra capital during boom periods on top of capital
requirements set through other regulations.
The buffer can be unwound during downturns, enabling banks
to continue lending and hence soften the impact of a recession.
Leading Norwegian banks include among others DNB,
SR Bank, Sparebank 1 SMN, Sparebanken Vest
and Sparebank 1 Nord-Norge.
(Reporting by Terje Solsvik, editing by Ole Petter Skonnord)