Capital, Prudential

Basel Committee finds Basel III has boosted resilience of previously weak banks

By Justin Pugsley
In its third evaluation report on the global crisis financial reforms, the Basel Committee on Banking Supervision said bank resilience has increased with even greater strides seen from firms most impacted by the reforms helping to reduce systemic risk. 

The report, published on December 14, is also the Committee’s first holistic evaluation of the impact and efficacy of the Basel III reforms. One of the report’s main findings was that this greater resilience actually decreased the cost of capital for banks. This was particularly the case for institutions that ...

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