Basel Committee on Banking Supervision
The Basel Committee on Banking Supervision (BCBS) was founded by the central bank governors of the Group of Ten (G10) in 1974. Today, the Basel Committee comprises high-ranking representatives of national central banks and supervisory authorities from 28 jurisdictions. Germany is represented by Prof Dr Wuermeling of the Bundesbank and Mr Röseler of the Federal Financial Supervisory Authority (BaFin). As a general rule, the Basel Committee meets at the Bank for International Settlements (BIS) in Basel, where its permanent secretariat is also located.
The Basel Committee aims to strengthen financial stability by improving the regulation and supervision of internationally active banks and their practices worldwide. The committee sets global standards for banking supervision. Although its decisions have no formal legal force, their implementation in member states' national laws is viewed as a voluntary commitment. Since 2008, the G20 heads of state and government have also committed to the implementation of the Basel standards on a regular basis.
The Basel Committee strictly monitors the implementation of its standards. A half-yearly report on the legal implementation of these standards in member states is published in spring and autumn. Moreover, the committee examines the consistency of rules implemented in the individual member states with the Basel standards and the consistency of their impact on risk-weighted assets when applied to banks.