The Financial Supervision Commission, as a resolution authority for investment intermediaries which have received a license for carrying out activity under Art. 6, para. 2, items 3 and 6 and under Art. 6, para. 3, item 1 of the MFIA, financial institutions, financial holdings and mixed financial holdings, branches in Member States and third countries, when they are subject to supervision by the FSC, shall determine a minimum requirement for own funds and eligible liabilities (MROFEL) according to the requirements of Art. 69 of the RRCIIIA.

The minimum requirement for own funds and eligible liabilities is calculated depending on the entity, and the amount of own funds and eligible liabilities are expressed as percentages of:

1. the total risk exposure of the respective institution, calculated in accordance with Art. 92 (3) of Regulation (EU) No. 575/2013, and

2. the measure for the total exposure of the respective institution, calculated in accordance with Art. 429 and 429a of Regulation (EU) No.575/2013.

Where, in accordance with the resolution scenario, the resolution plan provides for resolution actions or the exercise of impairment or conversion powers on the relevant equity instruments or eligible liabilities, the amount of the MROFEL in respect of the entity under resolution shall be determined on the basis of:

1. the amount of losses which must be borne during the resolution corresponding to the requirements of Art. 92, paragraph 1, letter “c”, respectively letter “d” of Regulation (EU) No. 575/2013 and under Article 276, paragraph 3 of the MFIA, for the resolution entity at the consolidated level of the resolution group, and

2. the amount of the recapitalization, which allows the resolution group to resume the fulfillment of the requirement for the ratio of total capital adequacy and leverage, specified in art. 92 (1) (c) and (d) of Regulation (EU) No. 575/2013 and the requirement under Article 276 (3) of the MFIA, at the consolidated level of the resolution group, after the application of the preferred resolution strategy.1