The Swedish FSA announced details of tighter capital requirements today (Thursday), which market participants said provide welcome but only partial clarification of the capital regime in Sweden, with outstanding questions about Pillar 2 requirements obscuring the outlook for AT1 supply.

Jonny Sylvén, senior advisor, Association of Swedish Covered Bond issuers (ASCB), spoke to Nordic Financial Institutions & Covered about latest Swedish regulatory developments, asset encumbrance, and labelling.