Canada Banking Regulator Releases Basel III Capital Rules
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Canada’s banking regulator released final Basel III capital adequacy rules that aim to bring the country’s lenders into line with new global standards beginning next year.
The rules would require Canadian banks to hold a minimum buffer of 7 percent common equity by the first quarter of next year, the Ottawa-based Office of the Superintendent of Financial Institutions said in a release today. Provisions related to add-on charges for counterparty risk on over-the-counter derivatives will be implemented by the first quarter of 2014 in order not to disadvantage Canadian banks.