New Basel Committee agreement on LCR

Date 07/01/2013

On Sunday 6 January 2013 the Group of Governors and Heads of Supervision (GHOS), the oversight body of the Basel Committee on Banking Supervision, announced that a final agreement had been reached regarding the definition of the short-term liquidity measure, the Liquidity Coverage Ratio (LCR). This agreement entails some changes to the original proposal published by the Basel Committee in December 2010, including the actual definition of the LCR. It was also agreed that LCR would be introduced gradually over a four-year period. However, the basic structure and original starting date for the implementation of the LCR of January 2015 have not been changed. More details regarding the agreement can be seen on the Bank of International Settlements (BIS) website.