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Assessment of the macroeconomic impact of higher loss absorbency for global systemically important banks

Macroeconomic Assessment Group established by the Financial Stability Board and the Basel Committee on Banking Supervision – Report: Assessment of the macroeconomic impact of higher loss absorbency for global systemically important banks, 10 October 2011

  • “Weaknesses at large financial institutions have often played a central role in the triggering and propagation of systemic financial crises. The 2007–09 financial crisis was only the most recent example. Since the crisis, authorities worldwide have sought ways to strengthen regulation and supervision of these institutions, including through efforts at the international level led by the Financial Stability Board (FSB) and the Basel Committee on Banking Supervision. As part of a package of measures for addressing these risks, the Basel Committee has made proposals for improving the loss absorbency of global systemically important banks (G-SIBs).”
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