Reducing excessive variability in banks’ regulatory capital ratios.
The Basel Committee's report to G20 Leaders sets out the measures the Committee is taking to improve consistency and comparability in bank capital ratios, and thereby to restore confidence in risk-weighted capital ratios. These measures include: policy proposals to revise the standardised (non-modelled) approaches for calculating regulatory capital ratios that will also provide the basis for a capital floor; and reducing the modelling choices in the capital framework when determining internal-model based estimates of credit, market and operational risk-weighted assets. The report also discusses the role of disclosure, implementation monitoring and additional analytical and policy work in progress.
- Publication Date: November 2014
- Publication Type: Other
- Publication Status: Superseded
- Publication Category: Operational Risk
- Number of Pages: 6
- Keywords: Risk Weighted Assets, RWA Variability
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