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What is Basel framework?
Basel III (or the Third Basel Accord) is a global, voluntary regulatory framework on bank capital adequacy, stress testing, and market liquidity risk. Basel III is intended to strengthen bank capital requirements by increasing bank liquidity and decreasing bank leverage. Credits: Wikipedia
Why is capital adequacy ratio 8 percent in basel II accord?
As far as i know tha CAR in the new BASEL II Accord is not 8% it is infact 12 %, i.e the banks are supposed to maintain a higher capital to mitigate future risks.
What is the capital of Basel?
the capital is basel-city
Is basel the capital of Switzerland?
Basle or Basel, is not the capital of Switzerland, the capital is Bern.
What has the author Nestor Espenilla written?
Nestor Espenilla has written: 'Adequacy of existing level of capital implied by the Basel standards relative to the credit risk exposures of banks in the SEACEN region'
What is the difference between Basel II and Basel III?
There is a main difference between Basel II and Basel III. In Basel III, there is a 4.5% capital buffer to absorb shock. With Basel II, there is no capital buffer.
What is the differences between basel 1 and 2 and 3?
Basel I dealt with Capital Requirements for Banks. Basel II deal with Capital Requirements for Banks, Supervisor Review and Regulations, Market Displine. Basel III is same as Basel II with the enhancement of having Capital Buffer upto 4.5% which is not a part of Basel II.
What is the difference between basel 2 and basel 3?
in basel II there is no capital buffer but in basel III buffer is 4.5 % to be achieved upto jan 16 to absorb the shock
What are Basel III capital norms and why are they needed?
Basel-III norms raise the minimum capital requirements and offer benefit through cyclical recovery
Difference between basel 1 and basel 2?
The main difference is that the Basel I accord mainly focused on capital requirements for banks. The Basel II adds supervision and market discipline to these capital requirement through the "Three Pillar" concept. The first pillar is about capital requirement. The second pillar is about regulation and supervision. The third pillar describes market discipline.
Important cities in Switzerland?
The largest city in Switzerland by population is Zürich, then comes Geneva (French: Genève), Basel, Bern (the capital) and Lausanne.
What are the 3 pillars of Basel accord 2?
capital requirements, supervisory review and market discipline are the three pillar's of Basel accord 2.
