Basel to unveil ‘Pillar 1-lite’ approach to rate risk

First public consultation expected this month in long-running project

photo of the basel committee headquarters
Basel Committee headquarters

A flexible approach to setting capital requirements for the interest rate risk on loans and deposits is set to share key elements of the originally planned rigid, standardised approach, according to industry and regulatory sources.

The competing visions for the regulation of interest rate risk in the banking book (IRRBB) are expected to be laid out for the first time in a Basel Committee on Banking Supervision consultation paper this month. The standardised treatment – a so-called Pillar 1

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: