The Status of the Basel III Capital Adequacy Accord

Eubanks, Walter W.

Library of Congress. Congressional Research Service.

关键词: Finance;    Banks and banking;    Capital;    Bank capital;    International finance;   

RP-ID  :  R41467
RP-ID  :  R41467_2010Oct28

美国|英语

来源: UNT Digital Library

【 摘 要 】

The new Basel Capital Adequacy Accord (Basel III) is an agreement among countries' central banks and bank supervisory authorities on the amount of capital banks must hold as a cushion against losses and insolvency. Basel III is of concern to Congress mainly because it could put U.S. financial institutions at a competitive disadvantage in world financial markets. This report follows the basic elements of the Basel III documents on the types of capital requirements and their phase-in schedule, which were approved by the Basel member central bank governors on September 12, 2010. The elements are the new definition of Tier 1 capital, the minimum common equity capital, the capital conservation buffer, countercyclical capital buffer,liquidity coverage ratio, global leverage ratio, and wind-down government capital injections. The report concludes with some implications drawn from its content.