BIS and DNB urge swift transformation to Basel III

The European Commission welcomes the political agreement reached on the “banking package” which implements Basel III standards, making EU banks more resilient and addressing sustainability risks. The package also strengthens supervision and provides tools for EU banks. Beyond the implementation of Basel III standards, the package also contains a number of standards on crypto currencies and contributes to Europe’s transition to climate neutrality. The new rules are expected to apply from 2025, but certain elements will be phased in over a longer period.

The Bank for International Settlements (BIS) has emphasized the importance of a swift transformation to the new Basel III rules. The implementation of the rules has already been delayed several times. Also the Dutch Central Bank (DNB) recently stated that the implementation of Basel III is crucial. They noted that the implementation of Basel III would help to address the risks posed by climate change, which are becoming increasingly important for the banking sector.