The role of loans and the ICAS BE in the Eurosystem’s collateral framework in 2023

Rationale The share of non-marketable assets (mainly bank loans) pledged as collateral in the Eurosystem’s monetary policy credit operations has increased in recent years. The Banco de España’s corporate credit assessment system (ICAS BE) has contributed significantly to this development and may lea...

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Detalles Bibliográficos
Autores: Gavilá, Sergio, Morales, Lola
Tipo de recurso: artículo
Fecha de publicación:2023
País:España
Institución:Banco de España
Repositorio:Repositorio Institucional del Banco de España
OAI Identifier:oai:repositorio.bde.es:123456789/30149
Acceso en línea:https://repositorio.bde.es/handle/123456789/30149
Access Level:acceso abierto
Palabra clave:Monetary policy
Collateral
Loans
ICAS
Non-financial corporations
Credit rating
Bancos centrales y otras autoridades monetarias
Política monetaria
Créditos
E44
E52
E58
G21
G28
Descripción
Sumario:Rationale The share of non-marketable assets (mainly bank loans) pledged as collateral in the Eurosystem’s monetary policy credit operations has increased in recent years. The Banco de España’s corporate credit assessment system (ICAS BE) has contributed significantly to this development and may lead to these assets playing a greater role in the future. Takeaways •In the wake of the COVID-19 crisis there has been a considerable increase in the share of non-marketable assets in the collateral pledged by Spanish counterparties in Eurosystem financing operations. A significant proportion of these non-marketable assets are loans to firms rated using the Banco de España’s in-house rating system, called ICAS BE. •There is ample scope to increase the volume of pledged loans with an ICAS BE rating, especially in the case of loans to SMEs. •Spanish firms’ ICAS BE credit ratings have remained relatively stable in the past year, except in the sectors most affected by the COVID-19 pandemic, which have seen a notable improvement.