Georgiy DzitievPublished in:
Russian Journal of Entrepreneurship
– № 7-2 / July, 2011



Keywords: basel-3, equity capital of bank, financial institutions, leverage, liquidity, regulation, tier 1 capital


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Abstract:

The article discusses a possible impact of the reform adopted by the Basel Committee for Banking Supervision on September 12, 2010 (Basel-3) on the activities of global financial institutions. It concerns a new requirement for increasing the minimum level of bank’s own funds and the imposed obligation to create stabilization reserve of a certain amount of capital. How will it affect activities of credit institutions? Will it reduce their lending potential? Will it allow reducing risks of the global financial system to the necessary extent? Read more in the article.

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