Question ID: 1196
Regulation Reference: (EU) No 2015/2011 - lists of regional governments & local authorities, exposures to be treated as to central government
Article: 35
Status: Final
Date of submission: 24 May 2017
Question
The regulation amnenment, in-force since 11 November, 205 lists all regional governments and local authorities to be considered as "central government" for the calculation of the CIC Code. May question: are other public entities from other jurisdictions not listed in the Act (inclusive non-EEA, like U.S.) to be considered as "non-central government" under the CIC Code?
EIOPA answer
Bonds issued by central governments not covered by the COMMISSION IMPLEMENTING REGULATION (EU) 2015/2011 (e.g. central governments from other jurisdictions not listed in the Act (inclusive non-EEA, like U.S.) are still classified as CIC 11 "Central Government Bonds" regardless if the exposures to those bonds are not to be treated as exposures to the central government in accordance with Directive 2009/138/EC for the purpose of calculation of the market risk module and the counterparty default risk module of the solvency capital requirement standard formula. In the same way, if the bonds are issued by regional government or local authorities, the CIC would be 13 or 14, respectively.