Community Banks Not Subject to Basel’s Revised Credit Risk Framework

The Basel Committee on Banking Supervision today published a second, revised version of its standardized approach to credit risk, which is intended to build on the Basel risk-based capital framework. The U.S. banking agencies today stated that the proposed revisions to the capital framework would apply “primarily to large, internationally active banking organizations and not to community banking organizations.”

The agencies added that before any Basel proposals are implemented in the U.S., they will be subject to notice and public comment. For those wishing to comment to the Basel Committee on the revised framework, comments are due by March 11, 2016.