BNP Paribas has received the notification by the European Central Bank of the outcome of the 2020 Supervisory Review and Evaluation Process (SREP), which states that capital requirements on a consolidated basis from last year remains in force for the Group.
The Common Equity Tier 1 (CET1) requirement that the Group has to respect as from 1st January 2021 on a consolidated basis is 9.23% (excluding the Pillar 2 guidance), which includes 1.50% for the G-SIB buffer, 2.50% for the Conservation buffer, 0.70% for the Pillar 2 requirement and including 0.03% of countercyclical buffer. The requirement for the Tier 1 Capital is 10.96%. The requirement for the Total Capital is 13.28% (of which 1.25% for the Pillar 2 requirement that remains unchanged).
The Group is well above the regulatory requirements with a CET1 ratio at 12.6%, a Tier 1 ratio at 14.1% and a Total Capital ratio at 16.3%, in each case as at 30 September 2020 and in accordance with the transitional provisions relating to the introduction of IFRS 9.
BNP Paribas is a leading bank in Europe with an international reach. It has a presence in 71 countries, with more than 197,000 employees, including nearly 150,000 in Europe. The Group has key positions in its three main activities: Domestic Markets and International Financial Services (whose retail-banking networks and financial services are covered by Retail Banking & Services) and Corporate & Institutional Banking, which serves two client franchises: corporate clients and institutional investors. The Group helps all its clients (individuals, community associations, entrepreneurs, SMEs, corporates and institutional clients) to realise their projects through solutions spanning financing, investment, savings and protection insurance. In Europe, the Group has four domestic markets (Belgium, France, Italy and Luxembourg) and BNP Paribas Personal Finance is the European leader in consumer lending. BNP Paribas is rolling out its integrated retail-banking model in Mediterranean countries, in Turkey, in Eastern Europe and a large network in the western part of the United States. In its Corporate & Institutional Banking and International Financial Services activities, BNP Paribas also enjoys top positions in Europe, a strong presence in the Americas as well as a solid and fast-growing business in Asia-Pacific.