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Committees at the Bank for International Settlement (BIS)

International Convergence of Capital Measurement and Capital Standards


Part I. The constituents of capital

  • (a) Core capital (basic equity)
  • (b) Supplementary capital
  • (c) Deductions from capital

Part II. The risk weights

  • (i) Categories of risk captured in the framework
  • (ii) Country transfer risk
  • (iii) Claims on non-central-government, public-sector entities (PSEs)
  • (iv) Collateral and guarantees
  • (v) Loans secured on residential property
  • (vi) Off-balance-sheet engagements

Part III. A target standard ratio

Part IV. Transitional and implementing arrangements

  • (i) Transition
  • (ii) Implementation

Annex 1. Definition of capital included in the capital base

  • A. Capital elements
  • B. Limits and restrictions
  • C. Deductions from the capital base
  • D. Definition of capital elements
    • Tier 1
    • Tier 2
      • (a) undisclosed reserves
      • (b) Revaluation
      • (c) General provisions/general loan-loss reserves
      • (d) Hybrid (debt/equity) capital instruments
      • (e) Subordinated term debt

Annex 2. Risk weights by category of on-balance-sheet asset

Annex 3. Credit conversion factors for off-balance-sheet items

Annex 4. Transitional arrangements


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