On Thursday, the Bank for International Settlements released the results of the Financial Stability Institute’s (FSI) 2010 survey on the implementation of the New Capital Adequacy Framework under Basel II. The 2010 survey follows previous surveys by FSI in 2004, 2006 and 2008. Of the 173 jurisdictions that received the 2010 survey, 133 provided responses and of those 133, “112 countries have implemented or are currently planning to implement Basel II.” According to the FSI, these results “reinforce the conclusion of the earlier FSI surveys that Basel II will be implemented widely around the world.”
With respect to credit and operational risks, the 2010 survey results indicate that the Standard Approach is currently the most popular method for credit risk and the Basic Indicator Approach is most commonly used for operational risk. “The 2010 survey results [also] indicate that 90 jurisdictions will be implementing Pillar 2 and 93 will be implementing Pillar 3 by 2015.” According to the survey, the main focus of the jurisdictions centers on “implement[ing] or operationaliz[ing] Pillar 2 as a part of their Basel II related work” and “working on enhancing the efficiency and effectiveness of on-and off-site supervision.”
In addition to the global results, the 2010 survey also categorizes responses into “specific implementation plans” for Africa, Asia, the Caribbean, Europe, Latin America and the Middle East, with charts that provide comparisons and projections.