Riksbank floats new collateral limits
Impact assessment shows limited effect on banks
Sveriges Riksbank proposed new limits on the collateral it accepts today (October 21), as it seeks to restrict the amount of covered bounds its counterparties can pledge.
The Riksbank has harboured concerns over banks' reliance on covered bonds for years, and has concluded the risks associated with them are "not fully reflected" in their credit ratings.
It is responding with tougher rules on how they can be used to obtain funds from the central bank. One proposal would restrict the share of
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