
A new capital adequacy framework
By Bank for International Settlements (BIS)
This landmark consultative paper marks the formal inception of the "Basel II" framework, a revolutionary shift in global financial oversight designed to replace the 1988 Basel I Accord. Recognizing that the original rules were too simplistic for the rapidly evolving financial landscape, the Basel Committee on Banking Supervision (BCBS) introduced the iconic "Three Pillars" concept.
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