EBU Single Rulebook Q&A 17 July 2015 2015_2135 Capital requirements deduction for credit risk on exposures to SMEs

Is capital requirement deduction (SME factor) applicable for specialised lending exposures if conditions determined in Article 501(2) of Regulation No 575/2013 (CRR) are met? The recovery and future growth of the Union economy depends largely on the availability of capital and funding to SMEs established in the Union, therefore the growth of SME lending is desirable.