By Luigi Serenelli2021-01-06T13:49:00+00:00 The Austrian Financial Market Authority (FMA) has decided to impose the recommendations of the European Systemic Risk Board (ESRB) on funding stability of financial institutions onto Pensionskassen and occupational Vorsorgekassen. The ESRB recommended financial institutions to refrain from distributing dividends, or committing to making a dividend distribution; buying back ordinary shares and creating an obligation to pay remuneration to executives. The recommendations last until 30 September. Financial institutions also include insurance and reinsurance undertakings. The ESRB, which has the task of overseeing the European Union’s financial system, wants financial institutions to maintain a “sufficiently high level of capital” to reduce systemic risks and contribute to economic recovery from the pandemic.