On December 5, 2014, the Basel Committee on Banking Supervision (“Basel Committee”) issued a report assessing US implementation of the Basel capital framework. Based on the US regulations published in July 2013, the assessment evaluates the consistency and completeness of the jurisdiction’s adopted standards and any deviations from the Basel framework.

Specifically, the Basel Committee evaluated 13 components of the US risk-based capital standards and concluded that seven out of 13 components were considered “compliant” with the minimum standards established under the Basel framework, four components were considered “largely compliant,” and two components were considered “materially non-compliant” – namely the securitization framework and the standardized approach for market risk.

The Basel Committee held discussions with senior officials from the Federal Reserve Board, the Office of the Comptroller of the Currency (“OCC”) and the Federal Deposit Insurance Corporation (“FDIC”) to conduct the assessment. As of December 5, US officials have not made any public statements regarding the results.

The Basel Committee report is available at:

http://www.bis.org/bcbs/publ/d301.pdf.