Market Officials Pleased With New Amendment To Basle Capital Accord On Bilateral Netting


Bank executives and industry group officials say they are delighted that the Basle Committee on Banking Supervision has acted quickly to amend its 1988 capital accord to recognise close-out netting and provided a formula for calculating netted capital requirements under both methods. The Committee, which first proposed the amendment in April 1993 along with new capital requirements for market risk, issued the final amendment on July 15 together with two additional proposals for which it is s