# Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012 (Text with EEA relevance), Article 114: Exposures to central governments or central banks

Extent: E+W+S+N.I.

1 . Exposures to central governments and central banks shall be assigned a 100 % risk weight, unless the treatments set out in paragraphs 2 to 7 apply.
2 . Exposures to central governments and central banks for which a credit assessment by a nominated ECAI is available shall be assigned a risk weight in accordance with Table 1 which corresponds to the credit assessment of the ECAI in accordance with Article 136.
Table 1
Credit quality step
1
2
3
4
5
6
Risk weight
0 %
20 %
50 %
100 %
100 %
150 %
3 . Exposures to the ECB shall be assigned a 0 % risk weight.
4 . Exposures to the central government of the United Kingdom and the Bank denominated and funded in sterling shall be assigned a risk weight of 0 %.
6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7 . When the competent authorities of a third country which apply supervisory and regulatory arrangements at least equivalent to those applied in the United Kingdom assign a risk weight which is lower than that indicated in paragraphs 1 and 2 to exposures to their central government and central bank denominated and funded in the domestic currency, institutions may risk weight such exposures in the same manner.
For the purposes of this paragraph, the Treasury may by regulations determine whether a third country applies supervisory and regulatory arrangements at least equivalent to those applied in the United Kingdom. ... .

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Source: https://www.legislation.gov.uk/eur/2013/575/article/114 (the official version)
Page: https://openlegislation.uk/eu-regulation-2013-575/article-114
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.