Is collateral from REPO and SBL transactions taken into consideration for the BRRD base calculation?

Article 5(1) of Delegated Regulation (EU) 2015/63 exempts certain liabilities from the calculation of the basic annual contribution. The scope of such exemptions is to be interpreted narrowly, not going beyond the objective of the exemption. None of the provisions of Article 5(1) have the objective of exempting collateralised liabilities as such. As a result, liabilities arising from repos and securities lending and borrowing transactions should not be netted with the corresponding collateral in the calculation of the basic annual contribution. Disclaimer: This question goes beyond matters of consistent and effective application of the regulatory framework. A Directorate General of the Commission (Directorate General Financial Stability, Financial Services and Capital Markets Union) has prepared the answer, albeit that only the Court of Justice of the European Union can provide definitive interpretations of EU legislation. This is an unofficial opinion of that Directorate General, which the European Banking Authority publishes on its behalf. The answers are not binding on the European Commission as an institution. You should be aware that the European Commission could adopt a position different from the one expressed in such Q&As, for instance in infringement proceedings or after a detailed examination of a specific case or on the basis of any new legal or factual elements that may have been brought to its attention.