The Eastern Caribbean Central Bank (ECCB) is moving from Basel I towards the adoption of relevant portions of Basel II and III: global standards for setting and determining capital adequacy and strengthening the regulation, supervision and practices of banks worldwide.
The Basel II/III framework consists of three pillars and contains roles for the regulator, banks and the public. Milton David, Bank Examiner and Lead of the Basel Implementation Team in the Bank Supervision Department, ECCB, says the move by the ECCB to adopt portions of this global benchmark is beneficial and will mean a stronger and more resilient financial system in the Eastern Caribbean Currency Union (ECCU).
Speaking on the latest episode of ECCB Connects, the Bank’s weekly public education outreach programme, David says that the move from Basel I to Basel II/III will place the banks in a more elite category given that the Basel standard has become the global standard for assessing the capital adequacy of banks.
More information on Basel II/III is available on the latest episode of ECCB Connects : Click to view