BCBS FAQs On Basel III Countercyclical Capital Buffer

On October 19, 2015, the Basel Committee on Banking Supervision (BCBS) issued frequently asked questions (FAQs) on the Basel III countercyclical capital buffer (BCBS 339).

In December 2010, the BCBS published its final standards on the buffer in its paper on the Basel III regulatory framework (BCBS 189) and guidance for national authorities operating the countercyclical capital buffer (BCBS 187). The BCBS states that the FAQs provide excerpts from BCBS 187 and BCBS 189, together with clarifications, particularly on the role of jurisdictional reciprocity and the computation of the capital buffer add-on.

The BCBS has also published a dedicated website on the countercyclical capital buffer that sets out details of how member jurisdictions of the BCBS have implemented the buffer to date.