The Covid-19 pandemic is having a major impact on the real economy, and this shock may also spread to the German banking system. The full impact cannot be estimated at this stage, but it is clear that it will continue to bring about changes in general conditions.
As a form of preventive support for banks, BaFin is lowering the countercyclical capital buffer to 0% as of 1 April 2020 by means of a general administrative act. No further increase in the CCyB can be expected until the end of 2020. The Financial Stability Committee reacted positively to the reduction of the countercyclical capital buffer and considered not increasing the buffer until the end of 2020 to be appropriate.