In a lengthy farewell speech today as his tenure on the Federal Reserve Board of Governors comes to a close, former Vice Chairman for Supervision Randal Quarles outlined several “further refinements to the bank supervisor and regulatory framework” that still need to be made in the near term, including further calibration of leverage capital standards.
Browsing: Basel III
Financial regulatory reforms implemented since the last crisis, including the Basel III framework, helped the global financial system absorb shocks related to the COVID-19 pandemic, according to a new report released by the Basel, Switzerland-based Financial Stability Board today.
The federal banking agencies today finalized the Net Stable Funding Ratio, a long-term liquidity measurement that was the last major unfinished element of the Basel III liquidity standards.
The Basel Committee has updated its workplan for evaluating reforms made in the aftermath of the 2008 financial crisis.
A new analysis by the Financial Stability Board of the global post-financial crisis regulatory framework found that the regulatory reforms did not have “material and persistent negative effects on [small and medium enterprise] financing in general,” though some of the more stringent risk-based capital requirements may have slowed the pace of financing or caused credit conditions to tighten at the banks capitalized the least before the crisis in some locales.
In recent years, nonbanks have made major inroads into sectors like the single-family mortgage market, where they now originate more than half of loans.
The FDIC today approved a final rule allowing community banks with a leverage capital ratio of at least 9% to be considered in compliance with Basel III capital requirements and exempt from the complex Basel Calculation.
The FDIC today approved a joint final rule with the OCC and the Federal Reserve that would allow banks to adopt early the relief provisions included in the recently finalized capital simplification rule.
The American Bankers Association and 52 state associations wrote to the heads of the financial regulatory agencies yesterday urging them to allow the early adoption of relief provisions included in the recently finalized capital simplification rule.