Mediobanca announces that it has received the go-ahead from the ECB to adopt its internal risk management systems (AIRB models) for the purpose of measuring capital requirements relating to credit risk in the Corporate segment.
The same provision approved the plan for the progressive adoption of the AIRB models for the other business segments. The authorization will be effective from 31 March 2018.
Within the scope of application of the internal methodologies, "the Risk Density, referring to the data for September 2017, is reduced to just over 60% - with a risk weighted asset saving of approximately € 5 billion - and confirms the high quality of credit processes which has always been a distinctive trait of the Bank”, reads a press release.
“The result, which can be estimated at an increase in CET1 of around 140 bps, will make it possible to strengthen the group's capital solidity and encourage more robust growth in accordance with the objectives of the three-year plan”, concludes the note.
