On 26 June 2019, the Basel Committee on Banking Supervision (Basel Committee) published a document setting out revisions to the leverage ratio standard text that will serve to implement the treatment of client cleared derivatives. This revision will apply to the version of the leverage ratio standard that will serve as the Pillar 1 minimum capital requirement as of 1 January 2022.

The Basel Committee revised the treatment following an evaluation of the impact of the leverage ratio on banks’ provision of client clearing services and of quantitative and qualitative information on banks’ exposures to client cleared derivatives.