BCBS: Further details on the assessment of global systemically important banks

21 November 2016

In connection with today's publication by the Financial Stability Board of the updated list of global systemically important banks (G-SIBs), the Basel Committee on Banking Supervision has released further information related to the 2016 G-SIB assessment.

The information includes:

The Committee's methodology assesses the systemic importance of global banks using indicator-based measurements. The indicators are calculated based on data for the previous fiscal year-end supplied by banks and validated by national authorities. In exceptional cases, the scores may be adjusted by supervisors.

The final scores are mapped to corresponding buckets, which determine the higher loss absorbency requirement for each G-SIB. As agreed in 2013, the Committee is currently reviewing its methodology.

The higher loss absorbency requirements published will take effect from 1 January 2018 subject to phase-in arrangements. The full amount of the higher loss absorbency requirement will come into force from 1 January 2019, consistent with the implementation schedule for the Basel III capital conservation buffer.

Press release

Denominators

Cutoff score and thresholds

Disclosures


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