Question
How should exposures subject to a risk weight of 70% according to Art. 126 (2) CRR3 be reported in the ITS on supervisory reporting v4.0? Should these exposures be included in the row r0280 “other risk weights” of the template C 07.00?
Background on the question
In template C 07.00 columns c0010 – c0040 are greyed-out for the 70% risk weight (r0210) in the breakdown of total exposures by risk weights, even though in the CRR3 a risk weight of 70% may be applicable for exposures secured by commercial property (see Art. 126 (2) CRR3).
Answer
This issue has been identified and will be corrected by removing the grey-out in template C 07.00 (r0210,c0010-0040) and in the DPM. In the meantime, the amounts relating to the risk weight of 70% applicable to exposures secured by mortgages on commercial immovable property - IPRE (Article 126(2) CRR) should be reported in row 0280 ‘other risk weights’ of template C 07.00.