The Central Bank of Cyprus (CBC) has kept the countercyclical capital buffer (CCyB) rate for exposures located in the Republic of Cyprus unchanged at 1.5%, according to its latest decision.
The 1.5% rate, adopted following a CBC decision announced on 14 January, 2025, has been effective since 14 January, 2026.
The CBC said the decision was taken in accordance with the provisions of the Macroprudential Oversight of Institutions Laws of 2015 to 2022, following its assessment of the relevant quantitative indicators.
The indicators considered by the CBC include the credit-to-GDP ratio and its deviation from its long-term trend (credit-to-GDP gap).
The CCyB rate is set on a quarterly basis and has been applied in Cyprus since 1 January, 2016.
(Source: CNA)
