The European Central Bank (ECB) Banking Supervision announced that it will allow banks to operate temporarily below the level of capital defined by the Pillar-2 Guidance (P2G), the capital conservation buffer (CCB) and the liquidity coverage ratio (LCR). The ECB expects these temporary measures to be enhanced by the relaxation of the countercyclical capital buffer (CCyB) by the national competent authorities. In addition, banks will also be allowed to partially use capital instruments that do not qualify as common-equity Tier-1 (CET1) capital, for example additional Tier-1 or Tier-2 instruments, to meet the Pillar-2 Requirements (P2R). This measure was initially scheduled to first come into effect in January 2021, as part of the latest revision of the Capital Requirements Directive (CRD V). The ECB is also discussing with banks individual measures, such as adjusting timetables, processes and deadlines: for example, the ECB will consider rescheduling on-site inspections and extending deadlines for the implementation of remediation actions stemming from recent on-site inspections and internal-model investigations. Deadlines for certain non-critical supervisory measures and data requests will also be reconsidered.