Overview
Basel 3 was designed to strengthen the capital adequacy requirements of Basel 2, and to address bank stress testing and liquidity. It was designed largely in response to the 2008 financial crisis.
Topics
The following measures featured prominently in the Basel 3 framework.
- Leverage Ratio
- Liquidity - liquidity was first addressed in Basel3, largely due to the risks that were apparent during the 2008 financial crisis.