- TBTF reforms have made banks more resilient and resolvable;
- The benefits of the reforms significantly outweigh the costs; and
- There are still gaps that need to be addressed.
The reforms being evaluated include: (i) standards for additional loss absorbency through capital surcharges and total loss-absorbing capacity requirements; (ii) recommendations for enhanced supervision and heightened supervisory expectations; and (iii) policies to put in place effective resolution regimes and resolution planning to improve the resolvability of banks.
A copy of the consultation can be viewed here.