QA2025-22- Contingent Liabilities
- SRB Services
| Attribute | Detail |
|---|---|
| Unique Identifier | QA2025-22 |
| Document | MBDT Guidance |
| MBDT Guidance | B02.00 |
| Title | Contingent Liabilities |
Question
Since Non-financial and Residual Liabilities (row 390 and row 400 of Liability Data Report) can include liabilities that depend on the outcome of an uncertain future event or uncertain amount, should the Bank exclude these liabilities in MBDT from Non-financial and Residual Liabilities, or should the perimeter be the same of the LDR?
Response
We confirmed that contingent liabilities are currently out of scope of the SRB MBDT guidance. This exception does not apply to liabilities explicitly requested in other tabs of the template (e.g. derivatives). Please kindly refer to paragraph 11a and footnote 13 of the MBDT guidance which clarifies that the scope includes residual and non-financial liabilities, as long as such liabilities represent claims that the creditor could file under insolvency proceeding. Liabilities that depend on the outcome of an uncertain future event or uncertain amount are, however, currently out of scope. Please note that provisions reported under “non-financial liabilities” in the LDR usually do not constitute a claim against a creditor or an investor, but rather arises from the application of accounting standards. The liabilities dependent on the outcome of an uncertain future event or of uncertain amount that generate the creation of provisions are currently not in scope of the MBDT, unless specifically requested by the applicable country annex, if any. Finally, as further background, please refer to QA2025-9 (https://srb-europa.atlassian.net/servicedesk/customer/portal/8/article/146931773)