The Basel Committee on Banking Supervision (BCBS) is a committee of banking supervisory authorities that was established by the central bank governors of the Group of Ten countries in 1974. It provides a forum for regular cooperation on banking supervisory matters. Its objective is to enhance understanding of key supervisory issues and improve the quality of banking supervision worldwide. It seeks to do so by exchanging information on national supervisory issues, approaches and techniques, with a view to promoting common understanding. At times, the Committee uses this common understanding to develop guidelines and supervisory standards in areas where they are considered desirable. In this regard, the Committee is best known for its international standards on capital adequacy; the Core Principles for Effective Banking Supervision; and the Concordat on cross-border banking supervision. Committee membership
The Committee's members come from: Argentina, Australia, Belgium, Brazil, Canada, China, France, Germany, Hong Kong SAR, India, Indonesia, Italy, Japan, Korea, Luxembourg, Mexico, Netherlands, Russia, Saudi Arabia, Singapore, South Africa, Spain, Sweden, Switzerland, Turkey, United Kingdom and United States. The present Chairman of the Committee is Mr Nout Wellink, President of the Netherlands Bank. Basel Sub-Committees
The Committee's work is organized under four main sub-committees : * The Standards Implementation Group
* The Policy Development Group
* The Accounting Task Force
* The International Liaison Group
Basel III Objectives and Timelines:
According to the BCBS, the Basel III proposals have two main objectives: * To strengthen global capital and liquidity regulations with the goal of promoting a more resilient banking sector. To improve the banking sector's ability to absorb shocks arising from financial and economic stress, which, in turn, would reduce the risk of a spillover from the...