CRD IV: Difference between revisions
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imported>Doug Williamson (Remove surplus link.) |
imported>Doug Williamson (Update.) |
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''Bank supervision - EU''. | ''Bank supervision - EU''. | ||
CRD IV | CRD IV was the EU Capital Requirements Directive (CRD), 2013/36/EU, implementing Basel III in the European Union (EU). | ||
It | It comprised prudential rules for financial institutions covering: | ||
*Requirements on quality and quantity of capital; | *Requirements on quality and quantity of capital; | ||
*Rules for counterparty risk; | *Rules for counterparty risk; | ||
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CRD IV was updated by CRD V. | |||
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:''The Treasurer magazine, April 2017, p24 - Nick Burge, MD, head of strategic liquidity at Lloyds Bank.'' | :''The Treasurer magazine, April 2017, p24 - Nick Burge, MD, head of strategic liquidity at Lloyds Bank.'' | ||
Revision as of 17:10, 26 March 2022
Bank supervision - EU.
CRD IV was the EU Capital Requirements Directive (CRD), 2013/36/EU, implementing Basel III in the European Union (EU).
It comprised prudential rules for financial institutions covering:
- Requirements on quality and quantity of capital;
- Rules for counterparty risk;
- A base for liquidity and leverage requirements; and
- Macroprudential standards.
CRD IV was updated by CRD V.
Loans raw material cost rises
- "Under CRD IV, the amount of capital that banks must hold against credit risk is now 2-2.5 x higher than it was pre-crisis.
- Given this increase in the raw material cost of manufacturing loans, lending has naturally become a more expensive process."
- The Treasurer magazine, April 2017, p24 - Nick Burge, MD, head of strategic liquidity at Lloyds Bank.