EBA reports on Basel III impact
The European Banking Authority (EBA) has published its first mandatory Basel III Monitoring Report, assessing the impact that full Basel III implementation will have on EU banks in 2028. Basel III is the international regulatory framework for banks, developed in response to the financial crisis of 2007-09 to strengthen the regulation, supervision and risk management of banks. Prudential data from banks is collected in machine-readable XBRL format, facilitating effective analysis and oversight.
The Basel rules require lenders to hold significant capital against possible future losses, in order to help ensure financial stability. The report finds that full implementation will result in an average increase of 15% to the current Tier 1 minimum required capital of EU banks, representing an additional €1.2 billion in capital holdings by 2028.
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