Clarification on the definition of SMEs

Hi everyone!

Could you please provide a clarification regarding the definition of SME?

Can financial institutions continue to use their own definitions of SME (e.g. CRR-based definitions) as per the Financial Sector Science-Based Targets Guidance (page 15) after the update to definition of Small and Medium-Sized Enterprises (SMEs) that qualify for the initiative’s SME target validation route?

Are there any requirements on the SME definition applied by FIs?

Thank you!