Question
What should be included in the line item "loan collateralized by commercial/residential immovable property" in CRR Pillar 3 Template 2 and Template 5?
Background on the question
Template 2: Accordingly to the new Taxonomy 3.3 i.e. applicable from Dec 23, the EBA recommended providing exposure of “Loan collateralized by commercial/residential immovable property” only for Non-Financial corporates (NFCs) instead of all sectors including households. Template 5: Template 5 requires exposure information for “Loan collateralized by commercial/residential immovable property”, without specifying any sector.
Answer
Templates 2 and 5 in Annex XXXIX of Regulation 2021/637, following their related instructions provided in Annex XL of the same Regulation, should have the same scope for the rows concerning loans collateralised by (commercial/residential) immovable property. Therefore, these loans are not limited only for non-financial corporates and this specification will be removed and corrected in the next release of the DPM/Taxonomy for Template 2.