DNB Bank ASA: DNB - Supervisory Review and Evaluation Process (SREP) 2025
The Financial Supervisory Authority of Norway ("the FSA") regularly carries out a Supervisory Review and Evaluation Process ("SREP"), where they evaluate the risks and capital needs of DNB. The SREP includes a decision regarding the Pillar 2 Requirement and the Pillar 2 Guidance, which comes in addition to the Pillar 1 minimum requirements and the combined buffer requirements. DNB has received this year's decision from the FSA, which will apply from 31 December 2025.
The FSA has decided to maintain DNB's current Pillar 2 Requirement (on a group level) at 1.7 % of the total risk exposure amount (TREA). At least 56.25 % of the requirement shall be met with common equity tier 1 (CET1) capital, while 75 % must be met with tier 1 capital.
Further, the FSA has decided to reduce the Pillar 2 Guidance from 1.25 % to 1.00 % of TREA.