Leverage ratio

The leverage ratio is a measure which allows for the assessment of institutions’ exposure to the risk of excessive leverage. In accordance with the CRR, institutions have to report to their supervisors all necessary information on the leverage ratio and its components. In addition, institutions have to disclose information on the leverage ratio to the market.  When necessary, the EBA updates its implementing technical standards providing uniform formats and modalities on reporting and disclosure. The EBA also scrutinises the ways in which institutions and competent authorities have implemented the CRR provisions. As upcoming work, insights from this monitoring will be covered in a dedicated report, with the EBA providing guidance where necessary.