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Additional measures from Basel Committee to alleviate the impact of COVID-19

Measures include:

Expected credit loss (ECL) accounting: Banks should use the flexibility inherent in the ECL accounting frameworks to take account of the mitigating effect of the extraordinary support measures related to Covid-19. The Committee will amend its transitional arrangements for the regulatory capital treatment of ECL accounting;

Non-centrally cleared derivatives (NCC derivatives): The Committee and the International Organization of Securities Commissions (IOSCO) have agreed to defer the final two implementation phases of the framework for margin requirements for NCC derivatives by one year; and

Global systemically important bank (G-SIB): The Committee will conduct the 2020 assessment exercise based on end-2019 data without collecting the memorandum data included in the data collection template. The Committee has also decided to postpone the implementation of the revised G-SIB framework by one year, from 2021 to 2022.

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