Stefan Ingves, Chairman of the Basel Committee, has spoken on current work and future priorities of the Basel Committee. These include:

  • completing reforms by end 2014. The Basel Committee will soon also launch a review of standardised approaches and proposals for a capital framework for interest rate risk in the banking book;
  • monitoring implementation;
  • assessing the impact of regulatory reform, in terms of unintended costs for the industry and regulatory arbitrage;
  • finding the right balance between risk sensitivity, simplicity and comparability, with a discussion paper scheduled for the coming months. The Basel Committee stresses that any change would be designed to strengthen the current Basel 3 framework, rather than holding it off; and
  • enhancing the effectiveness of both micro- and macroprudential supervision, including examination of the use of microprudential tools for macroprudential purposes.

(Source: Where Next? Priorities and Themes for the Basel Committee)