Basel output floor to bind 29% of big banks
But risk-based capital requirements would constrain the largest number of international lenders
Almost a third of large international banks will be constrained by the new Basel III output floor on internally modelled capital requirements.
Figures from the latest Basel Committee monitoring report show the output floor – which bars banks from reducing their modelled capital requirements below 72.5% of the amount generated by the revised standardised approach – will set the binding Tier 1
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