On 12 December 2025, the European Banking Authority (EBA) published a Final Report on draft regulatory technical standards (RTS) on the treatment of structural foreign exchange (FX) positions under Article 104c of the Capital Requirements Regulation (CRR).

The structural FX provision in Article 352 of the CRR has been subject to various interpretations that have led to differences in its application between EU Member States and across institutions. To promote a harmonised approach within the EU, the EBA published in 2020 own-initiative guidelines (EBA/GL/2020/09) on the practical implementation of the ‘structural FX’ provision. Those guidelines are now transposed into the draft RTS set out in the Final Report, following a mandate provided to EBA in the context of the CRR3 legislative process (see Article 104c of CRR as amended by CRR3).

Key elements of the draft RTS include:

• Maximum open position computation: institutions may consider only credit risk own funds requirements when determining the position that neutralises sensitivity to capital ratios, where credit risk is the main driver of ratio variability.
• Clarifications on risk positions: the RTS provide further guidance on how institutions should remove FX risk positions from own funds requirements.
• Policies for illiquid currencies:  dedicated provisions are introduced for currencies that are illiquid in the market, including those affected by Union restrictive measures.

The draft RTS will be submitted to the European Commission for adoption following which they will be subject to scrutiny by the European Parliament and the Council before being published in the Official Journal of the EU.