Nordea's capital requirement for systemic risk to increase from 1 April 2024

30 Mar 2023 08:45 CEST

Nordea Bank Abp
Stock exchange release - Other information disclosed according to the rules of
the Exchange
30 March 2023 at 9.45 EET

Nordea's Common Equity Tier 1 (CET1) requirement will increase by 100bp
following the decision of the Finnish Financial Supervisory Authority (FSA) to
impose a systemic risk buffer (SyRB) of 1.0% on banks in Finland. The decision
will apply from 1 April 2024 and is not expected to impact Nordea's capital
return plans.

As communicated by the Finnish FSA in the macroprudential decision in December
2022, the Board of the Finnish FSA was preparing to make a decision on the
activation of the SyRB in the first quarter of 2023. On 30 March 2023 the
Finnish FSA published its decision to impose a SyRB of 1.0% to be applied by
banks in Finland and to be met with CET1 capital.

The decision will apply from 1 April 2024 and, together with already decided
changes to other macroprudential capital buffers, it will increase Nordea's
regulatory CET1 ratio requirement to approximately 13.0% as of that date. This
means that the CET1 ratio requirement is in line with previous expectations.

As of the fourth quarter of 2022 Nordea's CET1 ratio, adjusted pro forma for the
deduction related to the recent approval of share buy-backs by the European
Central Bank (ECB) and the restatement following the implementation of IFRS 17,
was 15.7%, 2.7 percentage points in excess of the increased regulatory
requirement as of 1 April 2024.

Nordea has a clear capital and dividend policy, which includes pursuing an
efficient capital structure and generating sustainable shareholder returns to
the benefit of all shareholders. The decision is not expected to impact Nordea's
capital return plans as previously communicated.

On 3 March 2023 Nordea announced approval from the ECB for further share buy
-backs for EUR 1.0bn. The Board of Directors will decide on initiating this
share buy-back programme in connection with the release of Nordea's first
-quarter results on 27 April 2023.

For further information:

Matti Ahokas, Head of Investor Relations, +358 95300 8011
Media inquiries, +358 10416 8023 or press@nordea.com

The information provided in this stock exchange release was submitted for
publication, through the agency of the contacts set out above, at 9.45 EET on 30
March 2023.

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