Mr. Wim Verbraeken:

-----which currently is at zero. As the Deputy will know, typically that type of capital is somewhere between zero and 2.5%. The Central Bank announced on 5 July that as of next year - there is a 12 month notice period - that capital will be increased to 1% of risk-weighted assets. This is a normal feature of prudent regulation.

It is essentially to mitigate the risk of economic shocks. The Central Bank believes we are closer to the next downturn than to the previous downturn, so it is understandable to start preparing for that eventuality.