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The
Basel Committee of banking regulators from leading financial
centers said their latest update on compliance to June 2018 does
not reflect the final version of rules covering risks from
swings in market prices for assets.
After heavy industry lobbying, those rules were reworked in
January, a step Basel said would mitigate overall increases in
capital.
The latest shortfall, based on data covering 189 banks,
represents a fraction of total capital already being held.
It is 70 percent smaller than at the end of 2015 when banks were
building up buffers to meet the tougher capital rules after many
lenders were rescued by taxpayers in the financial crisis a
decade ago.
Basel said all banks continue to meet its capital requirements
at this stage in their phase-in.
Separately, the European Union's banking watchdog said that to
fully comply with Basel rules, banks in the bloc would need 39
billion euros of additional total capital, of which 24.2 billion
comprises core, high-quality capital.
Basel's rules are applied to all banks in the European Union,
not just to the largest lenders.
Basel said banks were in full compliance with rules requiring
them to hold "liquidity" buffers of assets that could be sold
quickly in a crisis to avoid burning through capital.
(Reporting by Huw Jones, editing by Louise Heavens)
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