Glossary

Minimum Requirement for own funds and Eligible Liabilities (MREL)

Minimum Requirement for own funds and Eligible Liabilities (MREL) is a term used in EU legislation for the loss absorbing capital (LAC) of certain financial institutions.

MREL figure comprises the total of a bank’s loss absorption amount and recapitalisation amount.

The MREL amounts is the amount of that a bank must have on its balance sheet to meet its liabilities.