The Basel Committee on Banking Supervision met in September to discuss recent market trends and disruptions as well as key supervisory initiatives. The Committee noted several spikes in market volatility in July and August related to large, levered positions and the interconnections with non-bank financial intermediaries. The Committee noted the importance of operational resilience and managing third-party risks.

The Committee also finalized the report on lessons learned from the 2023 banking turmoil. As recommended by the G20, the report builds on earlier documentation with a new emphasis on liquidity risk that will be published in the coming months. The Committee also provided an update on its work to support regulatory supervisors including tools that can be used in their day-to-day work. The tools pertain to liquidity risk, the sustainability of business’ models, and effective supervisory judgment.

Finally, the Committee reviewed comments it received on its recent consultation regarding the proposed disclosure framework on climate-related financial risks.

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