Tag Archives: Stress Testing

Supervisory Guidelines for Identifying and Dealing with Weak Banks

On June 18th, the Basel Committee published guidelines for identifying and dealing with weak banks for the purpose of receiving comments from supervisory agencies.

In the report a weak bank is defined as “one whose liquidity or solvency is impaired or will soon be impaired unless there is a major improvement in its financial resources, risk profile, business model, risk management systems and controls, and/or quality of governance and management”.

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