The Central Bank of Cyprus (CBC) has identified five major banks as Other Systemically Important Institutions (O-SII) following its policy revision. According to a recent press release, the CBC's updated policy pertains to the designation of credit institutions as O-SII and the methodology for setting their capital buffer requirements.

The CBC's annual reassessment for 2024 listed Bank of Cyprus Public Company Ltd, Hellenic Bank Public Company Ltd, Eurobank Cyprus Ltd, AstroBank Ltd, and Alpha Bank Cyprus Ltd as O-SII Institutions. This designation obligates these banks to maintain specific capital buffers due to their systemic significance.

The revised policy utilizes various statistical methodologies, mirroring those used by other central banks for determining O-SII buffer requirements. Additionally, the CBC has conducted a comparative analysis of Cyprus' domestic banking sector against those in eurozone member states with similar profiles.