The Basel, Switzerland-based Financial Stability Board today updated its list of global systemically important banks subject to supplemental loss absorbency requirements. Among the eight U.S. banks on the list, Citigroup moved into a category requiring more loss absorbency. France-based Groupe BPCE was removed from the list, and Royal Bank of Canada was added.
G-SIB designations are made using criteria issued by the Basel Committee on Banking Supervision, which also today released documentation on the changes. G-SIBs on the list will be subject to requirements for their new categories effective Jan. 1, 2019.