Role of the Basel Accords in preserving financial stability

Aleksandra Ristic
Additional contact information
Aleksandra Ristic: National Bank of Serbia

Working Papers Bulletin from National Bank of Serbia

Abstract: International convergence and standardisation of general banking terms and conditions are primarily associated with the Basel Committee’s activities, which resulted in the adoption of the Capital Adequacy Accords (Basel I, Basel II and Basel III) for the purpose of limiting potentially growing risks in the international banking operations by means of appropriate capitalisation. The purpose of this paper is to point out the importance of the Basel Accords and/or their impact on banking operations and financial stability based on available scientific literature, international standards, the EU acquis, national legislation and other statistical data. Starting from a defined subject matter and a set goal, the paper will first analyse the core principles of Basel I and the transition to the new Basel II Accord. After identifying the shortcomings of Basel II, which were manifested during the global financial crisis, the attention will be focused on the development and implementation of Basel III. Taking into consideration the preservation of financial stability, the National Bank of Serbia pays special attention to improving and harmonising the legislation governing banking operations in accordance with international standards and the EU acquis, while observing distinctive features of the local legal framework and the national market.

Keywords: Basel Committee on Banking Supervision; capital adequacy ratio; financial stability; Basel I; Basel II; Basel III; capital buffers (search for similar items in EconPapers)
JEL-codes: G01 G21 G38 O11 (search for similar items in EconPapers)
Pages: 34 pages
Date: 2022-09
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.nbs.rs/documents/publikacije/zbornik/zbornik_radova_09_22_5.pdf Full text (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:nsb:bilten:9

Access Statistics for this paper

More papers in Working Papers Bulletin from National Bank of Serbia Contact information at EDIRC.
Bibliographic data for series maintained by Marko Miseljic ().