CITA designated as significant benchmark under Article 24(7) of the Benchmarks Regulation

On 1 January 2026, a number of amendments to the Benchmarks Regulation (Regulation (EU) 2016/1011 of the European Parliament and of the Council of 8 June 2016, BMR) entered into force. Until now, most benchmarks have been covered by the general scope of the BMR. Following the revision, only critical benchmarks, significant benchmarks, EU Climate Transition Benchmarks and EU Paris-aligned Benchmarks, as well as certain types of commodity benchmarks, are covered by the general scope of the BMR. 

The Danish Financial Supervisory Authority (Danish FSA) has received a written request from the benchmark administrator Danish Financial Benchmark Facility (DFBF) for the benchmark Copenhagen Interbank Tomorrow/Next Average (CITA) to be designated as significant pursuant to article 24(7) of the BMR (“opt-in”). DFBF inter alia argues that the relevant usage value of CITA is estimated to be below, but close to, 50 bn euro and sets out further reasons for CITA’s significance, including the widespread use of CITA in the Danish mortgage market, which is significant for the Danish economy, including for households.

The Danish FSA shares the assessment that the discontinuance, unavailability or unreliability of CITA would have a significant adverse impact and that CITA fulfills the requirements to be designated as a significant benchmark. The significance of CITA is furthermore supported by the fact that CITA is a recommended fallback rate for mortgage loans and bonds based on the Copenhagen Interbank Offered Rate (CIBOR) and that it constitutes a forward-looking benchmark for the Denmark Short-Term Rate (DESTR), which is the preferred overnight reference rate in Danish kroner. The Danish FSA also agrees that CITA fulfils the quantitative requirement for opt-in by having a reference usage value in excess of EUR 20 bn.

On that background, the Danish FSA has designated CITA as a significant benchmark under Article 24(7) of the BMR. This means that CITA is now a significant benchmark and therefore remains subject to the BMR and supervision by the Danish FSA. DFBF already holds an authorisation from the Danish FSA to provide benchmarks under the BMR and is therefore not required to apply for a new authorisation.

If DFBF wishes so, DFBF may request to have the designation lifted no earlier than four years from the date of this designation. Upon such request, the Danish FSA can revoke the designation unless CITA fulfills either the EUR 50 bn threshold for significant benchmarks in Article 24(1)(a) of the BMR or the qualitative criteria for significant benchmarks in Article 24(3) of the BMR.

The Danish FSA will update the ESMA register under Article 36 of the BMR to include CITA as a significant benchmark pursuant to Article 24(7) of the BMR.

The Danish FSA will publish information on other significant Danish benchmarks as relevant. Under the revised BMR, benchmarks can become significant in multiple ways. A transitional period means that existing BMR administrators with a license as of 31 December 2025 may retain their license status until 30 September 2026, providing time to clarify whether their benchmarks are covered by the revised BMR. 

The decision on CITA under Article 24(7) can be found here

For more information on the transition to the revised Benchmarks Regulation, please refer to ESMA’s website 

ESMA’s register of benchmark administrators and benchmarks under the Benchmarks Regulation can also be found there. The register will be updated continuously.