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Treatment of trade finance under the Basel capital …

Basel Committee on Banking Supervision Treatment of trade finance under the Basel capital framework October 2011 This standard has been integrated into the consolidated Basel Framework: Copies of publications are available from: Bank for International Settlements Communications CH-4002 Basel , Switzerland E-mail: Fax: +41 61 280 9100 and +41 61 280 8100 This publication is available on the BIS website ( ). Bank for International Settlements 2011. All rights reserved. Brief excerpts may be reproduced or translated provided the source is stated. ISBN print: 92-9131-890-6 ISBN web: 92-9197-890-6 Treatment of trade finance under the Basel capital framework Contents Executive Introduction.

minimum Tier 1 leverage ratio of 3% is appropriate over a full credit cycle and for different types of business models. In the context of the 100% CCF for calculating the leverage ratio, Basel III applies a 10% CCF to commitments that are unconditionally cancellable and it …

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