The Basel Committee on Banking Supervision (Basel Committee) has issued Pillar 3 disclosure requirements – consolidated and enhanced framework. The standard represents the second phase of the Basel Committee’s review of the Pillar 3 disclosure framework and builds on the revisions to the Pillar 3 disclosure that the Basel Committee published in January 2015.
Following the second phase of its review, this latest standard consolidates into the Pillar 3 framework the disclosure requirements issued in the following documents:
- Composition of capital disclosure requirements (June 2012);
- Global systemically important banks: updated assessment methodology and the higher loss absorbency requirement (July 2013);
- Basel III: A global regulatory framework for more resilient banks and banking systems – revised version (June 2011) – section dealing with the geographical distribution of credit exposures subject to the countercyclical buffer;
- Basel III leverage ratio framework and disclosure requirements (January 2014);
- Liquidity coverage ratio disclosure standards (January 2014);
- Net stable funding ratio disclosure standards (June 2015);
- Interest rate risk in the banking book (April 2016); and
- Pillar 3 disclosure requirements for remuneration (July 2011).
The standard does not make any fundamental changes to the disclosure requirements in the above documents, but changes have been made to the format and frequency of some of the disclosure requirements to align them with the January 2015 standard.