On September 12th, the Basel Committee on Banking Supervision announced the approval of new capital requirements and a global liquidity standard. The new requirements will increase the minimum common equity requirement from 2% to 4.5%. In addition, banks will be required to hold a capital conservation buffer of 2.5% to withstand future periods of stress bringing the total common equity requirements to 7%. Institutions will have up to eight years to comply with the new requirements. BIS Press Release. See also Annex (summary of provisions) Annex 1 (capital requirements and buffers); Annex 2 (phase-in arrangements). Related news articles: New York Times; Reuters.