{
  "url": "https://openlegislation.uk/eu-decision-2014-34/annex-I/division-1",
  "json_url": "https://openlegislation.uk/eu-decision-2014-34/annex-I/division-1.json",
  "legislation": "eudn/2014/34",
  "legislation_title": "Decision of the European Central Bank of 29 July 2014 on measures relating to targeted longer-term refinancing operations (ECB/2014/34) (2014/541/EU)",
  "legislation_url": "https://openlegislation.uk/eu-decision-2014-34",
  "path": "annex/I/division/1",
  "kind": "division",
  "number": "1",
  "heading": "Calculation of borrowing limits",
  "text": "Participants in a TLTRO, acting either individually or as the lead institution of a TLTRO group, will be subject to borrowing limits. The calculated borrowing limits will be rounded up to the next multiple of EUR 10 000.\nThe borrowing limits (and possible mandatory early repayment) applicable to an individual participant in the TLTROs will be calculated on the basis of the outstanding amounts of loans and net lending to euro area non-financial corporations and households, excluding loans to households for house purchase, granted by the individual participant. The borrowing limits (and possible mandatory early repayment) applicable to the lead institution of a TLTRO group will be calculated on the basis of the outstanding amounts of eligible loans and eligible net lending granted by all members of the TLTRO group in aggregate.\nLet Ck ≥ 0 be the borrowing of a participant in TLTRO k (with k = 1,…,8). The initial borrowing allowance for this participant (IA) is:\nIA = 0,07 × OL\nHere, OL is the amount outstanding on 30 April 2014 of eligible loans granted by the participant. In the first two TLTROs, the following constraint must be respected:\nC 1 + C 2 ≤ IA\nThis means that total borrowing in the first two TLTROs cannot exceed the amount of the initial allowance.\nLet NLm be the eligible net lending of a participant in calendar month m. Let\nNL – = 1 12 NL May 2013 + NL June 2013 + … + NL April 2014\nbe the average eligible net lending of this participant from May 2013 to April 2014.\nDenote by BEk a participant's benchmark for TLTRO k (with k = 3,…,8, i.e. the TLTROs to be conducted between March 2015 and June 2016).\nIf NL – ≥ 0 (i.e. if the participant had positive or zero eligible net lending in the 12 months to 30 April 2014), or if the participant was established only after 1 May 2013, then BEk = 0 for all TLTROs k = 3,…,8.\nIf NL – < 0 (i.e. if the participant had negative eligible net lending in the 12 months to 30 April 2014), then:\nBE k = NL – × n k ,\nwhere nk , is defined as follows:\nThe allotment reference month of TLTRO k is the most recent month for which net lending data is available for TLTRO k (for an operation conducted in calendar month m, it will be data for the month two calendar months earlier).\nk\n3\n4\n5\n6\n7\n8\nMonth of TLTRO\nMar. 2015\nJun. 2015\nSept. 2015\nDec. 2015\nMar. 2016\nJun. 2016\nAllotment reference month\nJan. 2015\nApr. 2015\nJul. 2015\nOct. 2015\nJan. 2016\nApr. 2016\nnk\n9\n12\n12\n12\n12\n12\nThis means that the benchmark for each TLTRO allotment reference month will be equal to the average monthly eligible net lending achieved in the 12 months to 30 April 2014 ( NL – ), multiplied by the number of months elapsed between 30 April 2014 and the end of the allotment reference month. This, however, will only apply for allotment reference months up to and including April 2015. Thereafter, the benchmark will remain unchanged at the value reached in April 2015.\nThe basis for calculating the additional borrowing allowance for a participant in TLTRO k is:\nAAk = 3 × (CNLk – BEk ),\nwhere CNLk (cumulative net lending) is defined as follows:\nk\nMonth of TLTRO\nAllotment reference month\nCNL k\n3\nMar. 2015\nJan. 2015\nNL May 2014 + NL June 2014 + … + NL Jan 2015\n4\nJune 2015\nApr. 2015\nNL May 2014 + NL June 2014 + … + NL Apr 2015\n5\nSept. 2015\nJuly 2015\nNL May 2014 + NL June 2014 + … + NL Jul 2015\n6\nDec. 2015\nOct. 2015\nNL May 2014 + NL June 2014 + … + NL Oct 2015\n7\nMar. 2016\nJan. 2016\nNL May2014 + NL June2014 + … + NL Jan2016\n8\nJune 2016\nApr. 2016\nNL May 2014 + NL June 2014 + … + NL Apr 2016\nFor the last six TLTROs k = 3,…,8 (i.e. for all TLTROs in which additional allowances can be claimed), the following constraint must be respected:\nC k ≤ max 0, AA k − ∑ j = 3 k − 1 C j\nThis means that in each TLTRO k, the participant cannot borrow more than three times the amount by which its eligible net lending granted between 30 April 2014 and the respective allotment reference month (CNLk ) exceeds its benchmark in that allotment reference month (BEk ), less any amounts previously borrowed in TLTROs that take place in the period from March 2015.",
  "extent": "E+W+S+N.I.",
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "F",
      "label": "F1",
      "text": "Substituted by Decision (EU) 2015/299 of the European Central Bank of 10 February 2015 amending Decision ECB/2014/34 on measures relating to targeted longer-term refinancing operations (ECB/2015/5)."
    },
    {
      "type": "footnote",
      "label": "f1",
      "text": "References to a ‘participant’ should be understood as applying to individual participants or TLTRO groups."
    },
    {
      "type": "footnote",
      "label": "f2",
      "text": "The allotment reference month of TLTRO k is the most recent month for which net lending data is available for TLTRO k (for an operation conducted in calendar month m, it will be data for the month two calendar months earlier)."
    },
    {
      "type": "footnote",
      "label": "f3",
      "text": "For the TLTRO to be conducted in March 2015 ( k = 3), the constraint is C 3 ≤ max {0, AA 3 }."
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/eudn/2014/34/annex/I/division/1",
    "retrieved_at": "2026-11-01T15:14:52.855896+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}