Assets

Liabilities

1. Cash *2. Loans *

up to 1 year (1) *

over 1 year and up to 5 years (1) *

over 5 years (1) *

up to 1 year (2) *

over 1 year and up to 2 years (2) *

over 2 years (2) *

8. Currency in circulation 9. Deposits *

up to 1 year (3) *

over 1 year (3) *

up to 1 year *

over 1 year and up to 2 years *

over 2 years (5) *

up to 3 months (6) *

over 3 months *

of which over 2 years (9) *

up to 1 year *

over 1 year and up to 2 years *

over 2 years *

Assets

Liabilities

A.  Domestic residents *

MFIs *

Non-MFIs *

General government *

central government

state government

local government

social security funds

Other resident sectors (10) *

other financial intermediaries, etc. (S. 123 + S. 124) (7) , (10) *

insurance corporations and pension funds (S. 125) (10) *

non-financial corporations (S. 11) (10) *

households, etc. (S. 14 + S. 15) (8) , (10) *

B.  Residents of the other participating Member States *

MFIs *

Non-MFIs *

General government *

central government

state government

local government

social security funds

Other resident sectors (10) *

other financial intermediaries, etc. (S. 123 + S. 124) (7) (10) *

insurance corporations and pension funds (S. 125) (10) *

non-financial corporations (S. 11) (10) *

households, etc. (S. 14 + S. 15) (8) , (10) *

C.  Residents of the rest of the world *

Banks

Non-banks

general government

other resident sectors

D.  Not allocated

A.  Domestic residents *

MFIs *

of which: Credit institutions *

Non-MFIs *

General government *

central government *

state government

local government

social security funds

Other resident sectors (10) *

other financial intermediaries, etc. (S. 123 + S. 124) (7) , (10) *

insurance corporations and pension funds (S. 125) (10) *

non-financial corporations (S. 11) (10) *

households, etc. (S. 14 + S. 15) (8) (10) *

B.  Residents of the other participating Member States *

MFIs *

of which: Credit institutions *

Non-MFIs *

General government *

central government *

state government

local government

social security funds

Other resident sectors (10) *

other financial intermediaries, etc. (S. 123 + S. 124) (7) , (10) *

insurance corporations and pension funds (S. 125) (10) *

non-financial corporations (S. 11) (10) *

households, etc. (S. 14 + S. 15) (8) , (10) *

C.  Residents of the rest of the world *

Banks

Non-banks

general government

other resident sectors

D.  Not allocated

e

euro

x

Foreign currencies

Currencies other than the euro (i.e. other Member State currencies, USD, JPY, CHF, remaining currencies)

Balance sheet items

Each other participating Member State (i.e. excluding domestic sector) and each other EU Member State

Rest of the world (excluding EU)

Member State

Member State

Member State

Member State

LIABILITIES

8.  Currency in circulation

9.  Deposits

a.  from MFIs

b.  from non-MFIs

10.  MMF shares/units

11.  Debt securities issued

12.  Capital and reserves

13.  Remaining liabilities

ASSETS

1.  Cash

2.  Loans

a.  to MFIs

b.  to non-MFIs

3.  Securities other than shares

a.  issued by MFIs

up to 1 year

over 1 year and up to 2 years

over 2 years

b.  issued by non-MFIs

4.  MMF shares/units

5.  Shares and other equity

6.  Fixed assets

7.  Remaining assets

Balance sheet items

All currencies combined

Euro

Currency of each other EU Member State

Currencies other than EU Member State currencies combined

EU Member State currency

EU Member State currency

EU Member State currency

EU Member State currency

Total

USD

JPY

CHF

Remaining currencies combined

LIABILITIES

9.  Deposits

A.  Domestic

a.  from MFIs

M

M

b.  from non-MFIs

M

B.  Other participating Member States

a.  from MFIs

M

M

b.  from non-MFIs

M

C.  Rest of the world

i.  up to 1 year

M

ii.  over 1 year

M

a.  from banks

Quarterly figures from Table 2

b.  from non-banks

10.  MMF shares/units

11.  Debt securities issued

M

M

12.  Capital and reserves

M

13.  Remaining liabilities

M

ASSETS

2.  Loans

A.  Domestic

a.  to MFIs

M

b.  to non-MFIs

M

M

B.  Other participating Member States

a.  to MFIs

M

b.  to non-MFIs

M

M

C.  Rest of the world

i.  up to 1 year

M

ii.  over 1 year

M

a.  to banks

Quarterly figures from Table 2

b.  to non-banks

3.  Securities other than shares

A.  Domestic

a.  issued by MFIs

M

M

b.  issued by non-MFIs

M

M

B.  Other participating Member States

a.  issued by MFIs

M

M

b.  issued by non-MFIs

M

M

C.  Rest of the world

a.  issued by banks

Quarterly figures from Table 2

b.  issued by non-banks

4.  MMF shares/units

A.  Domestic

M

B.  Other participating Member States

M

C.  Rest of the world

M

5.  Shares and other equity

M

6.  Fixed assets

M

7.  Remaining assets

M

(1)   ‘M’ means monthly data requirements (see Table 1).

Category

Description of main features

1. Cash

Holdings of euro and foreign banknotes and coins in circulation that are commonly used to make payments

2. Loans

For the purposes of the reporting scheme, this consists of funds lent by reporting agents to borrowers, which are not evidenced by documents or are represented by a single document (even if it has become negotiable). It includes assets in the form of deposits:

— loans granted to households in the form of consumer credit (loans granted for the purpose of personal use in the consumption of goods and services), lending for house purchases (credit extended for the purpose of investing in housing, including building and home improvements) and other (loans granted for purposes such as business, debt consolidation, education, etc.). Lending for house purchases comprises loans secured on residential property that are used for the purpose of house purchase and, where identifiable, other loans for house purchases made on a personal basis or secured against other forms of assets

— deposits, as defined under liability category 9 (deposits)

— financial leases granted to third parties

— Financial leases are contracts whereby the legal owner of a durable good (‘lessor’) lends these assets to a third party (‘lessee’) for most if not all of the economic lifetime of the assets, in exchange for instalments covering the costs of the good plus an imputed interest charge. The lessee is in fact assumed to receive all of the benefits to be derived from the use of the good and to incur the costs and risks associated with ownership. For statistical purposes, financial leases are treated as loans from the lessor to the lessee (enabling the lessee to purchase the durable good). Financial leases granted by an MFI (acting as the lessor) are to be recorded in the MFI balance sheet under the asset item ‘loans’. The assets (durable goods) which have been lent to the lessee should not be recorded anywhere on the MFI's balance sheet

— bad debt loans that have not yet been repaid or written off

— Bad debt loans are considered to be loans in respect of which repayment is overdue or otherwise identified as being impaired. NCBs define whether bad loans are to be recorded gross or net of provisions

— holdings of non-negotiable securities

— Holdings of securities other than shares and other equity which are not negotiable and cannot be traded on secondary markets, see also ‘traded loans’

— traded loans

Loans that have de facto become negotiable are to be classified under the asset item ‘loans’ provided that they continue to be evidenced by a single document and are, as a general rule, only traded occasionally:

— subordinated debt in the form of deposits or loans

— Subordinated debt instruments provide a subsidiary claim on the issuing institution that can only be exercised after all claims with a higher status (e.g. deposits/loans) have been satisfied, giving them some of the characteristics of ‘shares and other equity’. For statistical purposes, subordinated debt is to be treated according to the nature of the financial instrument, i.e. classified as either ‘loans’ or ‘securities other than shares’ according to the nature of the instrument. Where MFI holdings of all forms of subordinated debt are currently identified as a single figure for statistical purposes, this figure is to be classified under the item ‘securities other than shares’, on the grounds that subordinated debt is predominately constituted in the form of securities, rather than as loans

— claims under reverse repos

— Counterpart of cash paid out in exchange for securities purchased by reporting agents — see liability item 9.4

The following item is not treated as a loan:

— loans granted on a trust basis

Loans granted on a trust basis (‘trust loans’/‘fiduciary loans’) are loans made in the name of one party (‘the trustee’) on behalf of a third party (‘the beneficiary’). For statistical purposes, trust loans are not to be recorded on the balance sheet of the trustee where the risks and rewards of ownership of the funds remain with the beneficiary. The risks and rewards of ownership remain with the beneficiary where: (i) the beneficiary assumes the credit risk of the loan (i.e. the trustee is responsible only for the administrative management of the loan); or (ii) the beneficiary's investment is guaranteed against loss, should the trustee go into liquidation (i.e. the trust loan is not part of the assets of the trustee that can be distributed in the event of bankruptcy)

3. Securities other than shares

Holdings of securities other than shares or other equity, which are negotiable and usually traded on secondary markets or can be offset on the market, and which do not grant the holder any ownership rights over the issuing institution. This item includes:

— holdings of securities which give the holder the unconditional right to a fixed or contractually determined income in the form of coupon payments and/or a stated fixed sum at a specific date (or dates) or starting from a date defined at the time of issue

— negotiable loans that have been restructured into a large number of identical documents and that can be traded on secondary markets (see also ‘traded loans’ in category 2)

— subordinated debt in the form of debt securities (see also ‘subordinated debt in the form of deposits or loans’ in category 2)

— in order to maintain consistency with the treatment of repo-type operations, securities lent out under securities lending operations remain on the original owner's balance sheet (and are not to be transferred to the balance sheet of the temporary acquirer) where there is a firm commitment to reverse the operation (and not simply an option to do so)

3a. Securities other than shares of up to and including one year's original maturity

— Holdings of negotiable debt securities (evidenced or not by documents) of original maturity of up to and including one year

— Negotiable loans of original maturity of up to and including one year that are restructured into a large number of identical documents and that are traded on secondary markets

— Subordinated debt in the form of debt securities of original maturity of up to and including one year

3b. Securities other than shares of over one year and up to and including two years' original maturity

— Holdings of negotiable debt securities (evidenced or not by documents) of over one year and up to and including two years' original maturity

— Negotiable loans of over one year and up to and including two years' original maturity that are restructured into a large number of identical documents and that are traded on secondary markets

— Subordinated debt in the form of debt securities of over one year and up to and including two years' original maturity

3c. Securities other than shares of over two years' original maturity

— Holdings of negotiable debt securities (evidenced or not by documents) of original maturity over two years

— Negotiable loans of over two years' original maturity that are restructured into a large number of identical documents and that are traded on secondary markets

— Subordinated debt in the form of debt securities of original maturity over two years

4. ►C1  Money market fund shares/units ◄

This asset item includes holdings of shares/units issued by MMFs. MMFs are collective investment undertakings the shares/units of which are, in terms of liquidity, close substitutes for deposits, and which primarily invest in money market instruments and/or in MMF shares/units and/or in other transferable debt instruments with a residual maturity of up to and including one year, and/or in bank deposits, and/or which pursue a rate of return that approaches the interest rates of money market instruments (see also categories 5 and 10)

5. Shares and other equity

Holdings of securities which represent property rights in corporations or quasi-corporations. These securities generally entitle the holders to a share in the profits of corporations or quasi-corporations and to a share in their own funds in the event of liquidation. Mutual fund shares (other than MMF shares/units) are included here.

6. Fixed assets

For the purposes of the reporting scheme, this consists of non-financial assets, tangible or intangible, which are intended to be used repeatedly for more than one year by reporting agents. They include land and buildings occupied by the MFIs, as well as equipment, software and other infrastructure. Fixed financial assets are not recorded here but instead under ‘loans’/‘securities other than shares’/‘shares and other equity’, according to the type of instrument

7. Remaining assets

The item ‘remaining assets’ is regarded as the residual item on the asset side of the balance sheet, defined as ‘assets not included elsewhere’

This item may include:

— financial derivative positions with gross positive market values

— For statistical purposes, financial derivative instruments that are subject to on-balance-sheet recording are included here

— gross amounts receivable in respect of suspense items

— Suspense items are asset balances held in the MFI balance sheet which are not booked in the name of customers but which nevertheless relate to customers' funds (e.g. funds that are awaiting investment, transfer or settlement)

— gross amounts receivable in respect of transit items

— Transit items represent funds (usually belonging to customers) that are in the course of being transmitted between MFIs. Items include cheques and other forms of payment that have been sent for collection to other MFIs

— accrued interest receivable on loans

— In accordance with the general principle of accruals accounting, interest receivable on loans should be subject to on-balance-sheet recording as it accrues (i.e. on an accruals basis) rather than when it is actually received (i.e. on a cash basis). Accrued interest on loans is classified on a gross basis under the category ‘remaining assets’. Accrued interest is excluded from the loan to which it relates

— dividends to be received

— amounts receivable not related to the main MFI business

— asset counterpart to coins issued by the State (NCBs' balance sheets only)

— ‘Remaining assets’ may exclude financial instruments that take the form of financial assets (included within the other balance sheet items), certain financial instruments that do not take the form of financial assets, such as guarantees, commitments, administered and trust loans (recorded off-balance sheet), and non-financial assets, such as land and commodities (included within ‘fixed assets’)

Category

Description of main features

8. Currency in circulation

The liability category ‘currency in circulation’ is defined as ‘banknotes and coins in circulation that are commonly used to make payments’. This category includes banknotes issued by the ECB and the NCBs. Coins in circulation are not a liability of MFIs in the participating Member States, but a liability of the central government. However, coins are part of the monetary aggregates and, by convention, this liability is to be entered under the category ‘currency in circulation’. The counterpart to this liability is to be included within ‘remaining assets’

9. Deposits

►M6  

Amounts (shares, deposits or other), which are owed to creditors by reporting agents and which comply with the features described in paragraph 5 of Section I of Part 1, except those arising from the issue of negotiable securities or MMF shares/units.

‘Deposits’ also cover ‘loans’ as liabilities of MFIs. In conceptual terms, loans represent amounts received by MFIs that are not structured in the form of ‘deposits’. The ESA 95 distinguishes between ‘loans’ and ‘deposits’ on the basis of the party that takes the initiative (if this is the borrower, then it constitutes a loan, but if this is the lender, then it constitutes a deposit), although in practice the relevance of this distinction will vary according to the national financial structure. Within the reporting scheme, ‘loans’ are not recognised as a separate category on the liabilities side of the balance sheet. Instead, balances that are considered as ‘loans’ are to be classified indistinguishably under the item ‘deposit liabilities’, unless they are represented by negotiable instruments. This is in line with the definition of ‘deposit liabilities’ above. Loans to MFIs that are classified as ‘deposit liabilities’ are to be broken down in accordance with the requirements of the reporting scheme (i.e. by sector, instrument, currency and maturity)

Non-negotiable debt instruments issued by reporting agents are generally to be classified as ‘deposit liabilities’. Instruments may be referred to as being ‘non-negotiable’ in the sense that there are restrictions on the transfer of legal ownership of the instrument that means that they cannot be marketed or, although technically negotiable, they cannot be traded owing to the absence of an organised market. Non-negotiable instruments issued by reporting agents that subsequently become negotiable and that can be traded on secondary markets should be reclassified as ‘debt securities’

Margin deposits (margins) made under derivative contracts should be classified as ‘deposit liabilities’, where they represent cash collateral deposited with MFIs and where they remain in the ownership of the depositor and are repayable to the depositor when the contract is closed out. On the basis of current market practice, it is also suggested that margins received by the reporting agent should only be classified as ‘deposit liabilities’ to the extent that the MFI is provided with funds that are freely available for on-lending. Where a part of the margin received by the MFI has to be passed to another derivatives market participant (e.g. the clearing house), only that part which remains at the disposal of the MFI should in principle be classified as ‘deposit liabilities’. The complexities of current market practice may make it difficult to identify those margins that are truly repayable, because different types of margin are placed indistinguishably within the same account, or those margins that provide the MFI with resources for on-lending. In these cases, it is acceptable to classify these margins under ‘remaining liabilities’ or as ‘deposit liabilities’, according to national practice ‘earmarked balances related to e.g. leasing contracts’ are classified as deposit liabilities under ‘deposits with agreed maturity’ or ‘deposits redeemable at notice’ depending on the maturity/provisions of the underlying contract

Funds (deposits) received on a trust basis shall not be recorded on the MFI statistical balance sheet (see ‘loans granted on a trust basis’ under category 2)

Shares issued by MFIs are classified as deposits instead of as capital and reserves if: (a) there is a debtor-creditor economic relationship between the issuing MFI and the holder (regardless of any property rights in these shares); and (b) the shares can be converted into currency or redeemed without significant restrictions or penalties. A notice period is not considered to be a significant restriction.

In addition, such shares must comply with the following conditions:

— the relevant national regulatory provisions provide no unconditional right to the issuing MFI to refuse redemption of its shares;

— the shares are ‘value certain’, i.e. under normal circumstances they will be paid out at their nominal value in the event of redemption; and

— in the event of the MFI’s insolvency, the holders of its shares are legally subject neither to the obligation to cover outstanding liabilities in addition to the nominal value of the shares (i.e. the shareholders’ participation in the subscribed capital) nor to any other onerous supplementary obligations. The subordination of shares to any other instrument issued by the MFI does not qualify as an onerous supplementary obligation.

The notice periods for the conversion of such shares into currency are used in order to classify these shares according to the breakdown by notice period within the instrument category ‘deposits’. These notice periods also apply when determining the reserve ratio under Article 4 of Regulation (EC) No 1745/2003 (ECB/2003/9). Any earmarked shares relating to loans made by the MFI should be classified as deposit liabilities, with the same original maturity breakdown as the underlying loan, i.e. as ‘deposits with agreed maturity’ or ‘deposits redeemable at notice’, depending on the maturity provisions of the underlying loan contract.

When held by MFIs, such shares issued by MFIs and classified as deposits instead of capital and reserves should be classified by the holding MFI as loans on the asset side of its balance sheet.

9.1. Overnight deposits

Deposits which are convertible into currency and/or which are transferable on demand by cheque, banker's order, debit entry or similar means, without significant delay, restriction or penalty. Balances representing prepaid amounts in the context of electronic money, either in the form of ‘hardware based’ e-money (e.g. prepaid cards) or ‘software based’ e-money, issued by MFIs, are included under this item. This item excludes non-transferable deposits which are technically withdrawable on demand but which are subject to significant penalties:

— balances (interest-bearing or not) which are transferable by cheque, banker's order, debit entry or the like, without any significant penalty or restriction

— balances (interest-bearing or not) which are immediately convertible into currency on demand or by close of business on the day following that on which the deposit was made, without any significant penalty or restriction, but which are not transferable

— balances (interest-bearing or not) representing prepaid amounts in the context of ‘hardware-based’ or ‘software-based’ e-money (e.g. prepaid cards)

— loans to be repaid by close of business on the day following that on which the loan was granted

9.2. Deposits with agreed maturity

Non-transferable deposits which cannot be converted into currency before an agreed fixed term or that can only be converted into currency before that agreed term provided that the holder is charged some kind of penalty. This item also includes administratively regulated savings deposits where the maturity related criterion is not relevant (classified in the maturity band ‘over two years’). Financial products with roll-over provisions must be classified according to the earliest maturity. Although deposits with agreed maturity may feature the possibility of earlier redemption after prior notification, or may be redeemable on demand subject to certain penalties, these features are not considered to be relevant for classification purposes

9.2a. Deposits of up to and including one year's agreed maturity

— Balances placed with a fixed term to maturity of no more than one year (excluding deposits with an original maturity of one day) that are non-transferable and cannot be converted into currency before that maturity

— Balances placed with a fixed term to maturity of no more than one year that are non-transferable but can be redeemed before that term after prior notification; where notification has been given, these balances should be classified in 9.3a or 9.3b, where appropriate

— Balances placed with a fixed term to maturity of no more than one year that are non-transferable but can be redeemed on demand subject to certain penalties

— Margin payments made under derivative contracts to be closed out within one year, representing cash collateral placed to protect against credit risk but remaining in the ownership of the depositor and being repayable to the depositor when the contract is closed out

— Loans evidenced by a single document of up to and including one year's original maturity

— Non-negotiable debt securities issued by MFIs (evidenced or not by documents) of original maturity of up to and including one year

— Subordinated debt issued by MFIs in the form of deposits or loans of original maturity of up to and including one year

9.2b. Deposits of over one year and up to and including two years' agreed maturity

— Balances placed with a fixed term to maturity of between one and two years that are non-transferable and cannot be converted into currency before that maturity

— Balances placed with a fixed term to maturity of between one and two years that are non-transferable but can be redeemed before that term after prior notification; where notification has been given, these balances should be classified in 9.3a or 9.3b, where appropriate

— Balances placed with a fixed term to maturity of between one and two years that are non-transferable but can be redeemed on demand subject to certain penalties

— Margin payments made under derivative contracts to be closed out within between one and two years, representing cash collateral placed to protect against credit risk but remaining in the ownership of the depositor and being repayable to the depositor when the contract is closed out

— Loans evidenced by a single document of between one and two years' original maturity

— Non-negotiable debt securities issued by MFIs (evidenced or not by documents) of original maturity of over one year and up to and including two years

— Subordinated debt issued by MFIs in the form of deposits or loans of original maturity of over one year and up to and including two years

9.2c. Deposits of over two years agreed maturity

— Balances placed with a fixed term to maturity of more than two years that are non-transferable and cannot be converted into currency before that maturity

— Balances placed with a fixed term to maturity of more than two years that are non-transferable but can be redeemed before that term after prior notification; where notification has been given, these balances should be classified in 9.3a or 9.3b, where appropriate

— Balances placed with a fixed term to maturity of more than two years that are non-transferable but can be redeemed on demand subject to certain penalties

— Balances (regardless of maturity) in which the interest rates and/or terms and conditions are specified in national legislation and which are designed to be held for specific purposes (e.g. house financing) occurring after two years (even if technically they are redeemable on demand)

— Margin payments made under derivative contracts to be closed out in more than two years, representing cash collateral placed to protect against credit risk but remaining in the ownership of the depositor and being repayable to the depositor when the contract is closed out

— Loans evidenced by a single document of more than two years' original maturity

— Non-negotiable debt securities issued by MFIs (evidenced or not by documents) of original maturity of over two years

— Subordinated debt issued by MFIs in the form of deposits or loans of original maturity of over two years

9.3. Deposits redeemable at notice

Non-transferable deposits without any agreed maturity which cannot be converted into currency without a period of prior notice, before the term of which the conversion into cash is not possible or possible only with a penalty. They include deposits which, although perhaps legally withdrawable on demand, would be subject to penalties and restrictions according to national practice (classified in the maturity band ‘up to and including three months’), and investment accounts without period of notice or agreed maturity, but which contain restrictive drawing provisions (classified in the maturity band ‘over three months’)

9.3a Deposits redeemable at up to and including three months notice

— Balances placed without a fixed maturity that can be withdrawn only subject to a pre-announcement of up to and including three months; if redemption prior to that notice period (or even on demand) is possible, it involves the payment of a penalty

— Non-transferable sight savings deposits and other types of retail deposits which, although legally redeemable on demand, are subject to significant penalties

— Balances placed with a fixed term to maturity that are non-transferable but that have been subject to a notification of less than three months for an earlier redemption

9.3b. Deposits redeemable at over three months notice of which over two years notice (where applicable)

— Balances placed without a fixed maturity that can be withdrawn only subject to a pre-announcement of more than three months; if redemption prior to that notice period (or even on demand) is possible, it involves the payment of a penalty

— Investment accounts without a period of notice or agreed maturity, but which contain restrictive drawing provisions

— Balances placed with a fixed term to maturity, that are non-transferable but have been subject to a notification of more than three months for an earlier redemption

9.4. Repos

Counterpart of cash received in exchange for securities/gold sold by reporting agents at a given price under a firm commitment to repurchase the same (or similar) securities/gold at a fixed price on a specified future date. Amounts received by reporting agents in exchange for securities/gold transferred to a third party (‘temporary acquirer’) are to be classified under ‘repurchase agreements’ where there is a firm commitment to reverse the operation and not merely an option to do so. This implies that reporting agents retain effective (economic) ownership of the underlying securities/gold during the operation. In this respect, the transfer of legal ownership is not the relevant feature for determining the treatment of repo-like operations. Where the temporary acquirer sells the securities received by way of a repo operation, this sale must be recorded as an outright transaction in securities/gold and entered in the balance sheet of the temporary acquirer as a negative position in the securities/gold portfolio

The following three variants of repo-type operations are all structured in such a way as to satisfy the conditions necessary for treatment as collateralised loans. Hence amounts received by reporting agetns (in exchange for securities/gold temporarily transferred to a third party) are classified under ‘repurchase agreements’:

— amounts received in exchange for securities/gold temporarily transferred to a third party in the form of a repurchase agreement

— amounts received in exchange for securities/gold temporarily transferred to a third party in the form of bond lending (against cash collateral)

— amounts received in exchange for securities/gold temporarily transferred to a third party in the form of a sale/buy-back agreement

10. Money market fund shares/units

Shares or units issued by MMFs. MMFs are collective investment undertakings the shares/units of which are, in terms of liquidity, close substitutes for deposits, and which primarily invest in money market instruments and/or in MMF shares/units and/or in other transferable debt instruments with a residual maturity of up to and including one year, and/or in bank deposits, and/or which pursue a rate of return that approaches the interest rates of money market instruments

11. Debt securities issued

Securities other than equity issued by reporting agents, which are instruments usually negotiable and traded on secondary markets or which can be offset on the market and which do not grant the holder any ownership rights over the issuing institution. This item includes securities that give the holder the unconditional right to a fixed or contractually determined income in the form of coupon payments and/or a stated fixed sum at a specific date (or dates) or starting from a date defined at the time of issue. Non-negotiable instruments issued by reporting agents that subsequently become negotiable should be reclassified as ‘debt securities’ (see also category 9)

Subordinated debt issued by MFIs is to be treated in the same way as other debt incurred by MFIs for the purposes of money and banking statistics. Hence, subordinated debt issued in the form of securities is to be classified as ‘debt securities issued’, whereas subordinated debt issued by MFIs in the form of deposits or loans is to be classified as ‘deposit liabilities’. Where all subordinated debt issued by MFIs is identified as a single amount for statistical purposes, this figure is to be classified under the item ‘debt securities issued’, on the grounds that subordinated debt is predominately constituted in the form of securities rather than as loans. Subordinated debt should not be classified under the liability item ‘capital and reserves’

11a. Debt securities of up to and including one year's original maturity

— Negotiable debt securities issued by MFIs (evidenced or not by documents) of original maturity of up to and including one year

— Subordinated debt issued by MFIs in the form of debt securities of original maturity of up to and including one year

11b. Debt securities of over one year and up to and including two years' original maturity

— Negotiable debt securities issued by MFIs (evidenced or not by documents) of original maturity of over one year and up to and including two years

— Subordinated debt issued by MFIs in the form of debt securities of original maturity of over one year and up to and including two years

11c. Debt securities of over two years' original maturity

— Negotiable debt securities issued by MFIs (evidenced or not by documents) of original maturity of over two years

— Subordinated debt issued by MFIs in the form of debt securities of original maturity of over two years

12. Capital and reserves

For the purposes of the reporting scheme, this category comprises the amounts arising from the issue of equity capital by reporting agents to shareholders or other proprietors, representing for the holder property rights in the MFI and generally an entitlement to a share in its profits and to a share in its own funds in the event of liquidation. Funds arising from non-distributed benefits or funds set aside by reporting agents in anticipation of likely future payments and obligations are also included. It includes:

— equity capital

— non-distributed benefits or funds

— specific and general provisions against loans, securities and other types of assets (may be recorded according to the accounting rules)

13. Remaining liabilities

The item ‘remaining liabilities’ is regarded as the residual item on the liabilities side of the balance sheet, defined as ‘liabilities not included elsewhere’

This item may include:

— financial derivative positions with gross negative market values

— For statistical purposes, financial derivative instruments that are subject to on-balance-sheet recording are to be included here

— gross amounts payable in respect of suspense items

— Suspense items are balances held in the MFI balance sheet which are not booked in the name of customers but which nevertheless relate to customers' funds (e.g. funds that are awaiting investment, transfer or settlement)

— gross amounts payable in respect of transit items

— Transit items represent funds (usually belonging to customers) that are in the process of being transmitted between MFIs. Items include credit transfers that have been debited from customers' accounts and other items for which the corresponding payment has not yet been made by the reporting agent

— accrued interest payable on deposits

— In accordance with the general principle of accruals accounting, interest payable on deposits should be subject to on-balance-sheet recording as it accrues (i.e. on an accruals basis) rather than when it is actually paid (i.e. on a cash basis). Accrued interest on deposits is classified on a gross basis under the category ‘remaining liabilities’. Accrued interest is excluded from the deposit to which it relates

— dividends to be paid

— amounts payable not related to the main MFI business (amounts due to suppliers, tax, wages, social contributions etc.)

— provisions representing liabilities against third parties (pensions, dividends etc.)

— margin payments made under derivative contracts

— Margin payments (margins) made under derivatives contracts should normally be classified as ‘deposit liabilities’ (see category 9)

— The complexities of current market practice may make it difficult to identify those margins that are truly repayable, because different types of margin are placed indistinguishably within the same account, or those margins that provide the MFI with resources for on-lending. In these cases, it is acceptable to classify these margins under ‘remaining liabilities’ or as ‘deposit liabilities’, according to national practice

— net positions arising from securities lending without cash collateral

— net amounts payable in respect of future settlements of transactions in securities or foreign exchange operations

— ‘Remaining liabilities’ may exclude almost all financial instruments that take the form of financial liabilities (included within the other balance sheet items); financial instruments that do not take the form of financial liabilities such as guarantees, commitments, administered and trust loans (recorded off-balance sheet), and non-financial liabilities such as capital items on the liabilities side (included within ‘capital and reserves’).

Case number

Type of merger

Obligations to be assumed

1

A merger where a full reporter (acquiring institution) acquires one or more full reporters (merging institutions) takes effect after the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of monthly statistical information relating to the preceding month

For the maintenance period consecutive to the merger, the reserve requirement of the acquiring institution is calculated on the basis of a reserve base aggregating the reserve bases of the acquiring institution and of the merging institutions. The reserve bases to be aggregated are those which would have been relevant for this maintenance period had the merger not occurred. Only one lump-sum allowance is granted

2

A merger where a full reporter (acquiring institution) acquires one or more tail institutions and possibly one or more full reporters (merging institutions) takes effect after the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of statistical information relating to the preceding quarter

For the maintenance period consecutive to the merger, the reserve requirement of the acquiring institution is calculated on the basis of a reserve base aggregating the reserve bases of the acquiring institution and of the merging institutions. The reserve bases to be aggregated are those which would have been relevant for this maintenance period had the merger not occurred. Only one lump-sum allowance is granted

3

A merger where a full reporter (acquiring institution) acquires one or more full reporters (merging institutions) takes effect within the period between the end of a month and the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of monthly statistical information relating to the preceding month

For the maintenance period consecutive to the merger, the reserve requirement of the acquiring institution is calculated on the basis of a reserve base aggregating the reserve bases of the acquiring institution and of the merging institutions. The reserve bases to be aggregated are those which would have been relevant for this maintenance period had the merger not occurred. Only one lump-sum allowance is granted. The acquiring institution shall assume, in addition to its own reporting obligations, the reporting obligations of merging institutions for statistical information relating to the month preceding the merger

4

A merger where a full reporter (acquiring institution) acquires one or more tail institutions and possibly one or more full reporters (merging institutions) takes effect within the period between the end of a quarter and the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of statistical information relating to the preceding quarter

For the maintenance period consecutive to the merger, the reserve requirement of the acquiring institution is calculated on the basis of a reserve base aggregating the reserve bases of the acquiring institution and of the merging institutions. The reserve bases to be aggregated are those which would have been relevant for this maintenance period had the merger not occurred. Only one lump-sum allowance is granted. The acquiring institution shall assume, in addition to its own reporting obligations, the reporting obligations of merging institutions for statistical information relating to the month or the quarter preceding the merger, depending on the institution

5

A merger where a tail institution (acquiring institution) acquires one or more full reporters and possibly one or more tail institutions (merging institutions) takes effect after the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of statistical information relating to the preceding month

Same procedure as in Case 1 is applied

6

A merger where a tail institution (acquiring institution) acquires one or more tail institutions (merging institutions) takes effect after the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of statistical information relating to the preceding quarter

From the maintenance period consecutive to the merger and until the acquiring institution has reported quarterly data for the first time after the merger in accordance with the reduced reporting requirements imposed upon tail reporters as set out in Annex II to this Regulation, the reserve requirement of the acquiring institution is calculated on the basis of a reserve base aggregating the reserve bases of the acquiring institution and of the merging institutions. The reserve bases to be aggregated are those which would have been relevant for this maintenance period had the merger not occurred. Only one lump-sum allowance is granted

7

A merger where a tail institution (acquiring institution) acquires one or more tail institutions (merging institutions) takes effect after the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of statistical information relating to the preceding quarter and, as a result of the merger, the tail institution becomes a full reporter

Same procedure as in Case 2 is applied

8

A merger where a tail institution (acquiring institution) acquires one or more tail institutions (merging institutions) takes effect within the period between the end of a quarter and the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of statistical information relating to the preceding quarter

From the maintenance period consecutive to the merger and until the acquiring institution has reported, for the first time after the merger, quarterly data in accordance with the reduced reporting requirements imposed upon tail reporters as set out in Annex II to this Regulation, the reserve requirement of the acquiring institution is calculated on the basis of a reserve base aggregating the reserve bases of the acquiring institution and of the merging institutions. The reserve bases to be aggregated are those which would have been relevant for this maintenance period had the merger not occurred. Only one lump-sum allowance is granted. The acquiring institution shall assume, in addition to its own reporting obligations, the reporting obligations of merging institutions for statistical information relating to the quarter preceding the merger

9

A merger where a tail institution (acquiring institution) acquires one or more full reporters and possibly one or more tail institutions (merging institutions) takes effect within the period between the end of a month and the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of monthly statistical information relating to the preceding month.

Same procedure as in Case 3 is applied

10

A merger where a tail institution (acquiring institution) acquires one or more tail institutions (merging institutions) takes effect within the period between the end of a quarter and the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of statistical information relating to the preceding quarter and, as a result of the merger, the tail institution becomes a full reporter

Same procedure as in Case 4 is applied

11

A merger where a full reporter (acquiring institution) is created from full reporters (merging institutions) takes effect within the period between the end of a month and the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of monthly statistical information relating to the preceding month

For the maintenance period consecutive to the merger, the reserve requirement of the acquiring institution is calculated on the basis of a reserve base aggregating the reserve bases of the merging institutions. The reserve bases to be aggregated are those which would have been relevant for this maintenance period had the merger not occurred. Only one lump-sum allowance is granted. The acquiring institution shall assume the reporting obligations of merging institutions for statistical information relating to the month preceding the merger

12

A merger where a full reporter (acquiring institution) is created from one or more tail institutions and possibly one or more full reporters (merging institutions) takes effect within the period between the end of a quarter and the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of statistical information relating to the preceding quarter

For the maintenance period consecutive to the merger, the reserve requirement of the acquiring institution is calculated on the basis of a reserve base aggregating the reserve bases of the merging institutions. The reserve bases to be aggregated are those which would have been relevant for this maintenance period had the merger not occurred. Only one lump-sum allowance is granted. The acquiring institution shall assume the reporting obligations of merging institutions for data relating to the month or the quarter preceding the merger, depending on the institution

13

A merger where a tail institution (acquiring institution) is created from one or more tail institutions (merging institutions) takes effect within the period between the end of a quarter and the deadline set by the relevant NCB in accordance with Article 4 of this Regulation for the reporting of statistical information relating to the preceding quarter

►C1  From ◄ the maintenance period consecutive to the merger and until the acquiring institution has reported quarterly data for the first time after the merger in accordance with the reduced reporting requirements imposed upon tail reporters as set out in Annex II to this Regulation, the reserve requirement of the acquiring institution is calculated on the basis of a reserve base aggregating the reserve bases of the merging institutions. The reserve bases to be aggregated are those which would have been relevant for this maintenance period had the merger not occurred. Only one lump-sum allowance is granted. The acquiring institution shall assume the reporting obligations of merging institutions for data relating to the quarter preceding the merger

(1)   The table presents the details of more complex procedures applied to specific cases. For cases not presented in the table, the normal rules for reporting of statistical information and calculation of reserve requirements, as set out in Article 3 of Regulation (EC) No 2818/98 (ECB/1998/15), apply.