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Article (9): Recognition of Exposures to Credit Risk Mitigation Providers

C 1/2023 Effective from 26/7/2023

9.1 Whenever a Bank recognises a reduction of the exposure to the original counterparty due to an eligible credit risk mitigation technique, it must also recognise an exposure to the credit risk mitigation providers. The amount assigned to the CRM provider is the amount by which the exposure to the original counterparty is reduced.