Q40) Identify the correct statement/s about the Basel norms introduced by the Bank of international settlements (BIS)
i) The Basel committee on banking supervision looks after the implementation of Basel norms.
ii) Basel norms 1 was introduced in 1990
iii) Indian banks are following Basel norms 2 which were introduced in 2004
iv) Indian banks will adopt Basel norms 3 in 2019
Q40) Identify the correct statement/s about the Basel norms introduced by the Bank of international settlements (BIS)
i) The Basel committee on banking supervision looks after the implementation of Basel norms.
ii) Basel norms 1 was introduced in 1990
iii) Indian banks are following Basel norms 2 which were introduced in 2004
iv) Indian banks will adopt Basel norms 3 in 2019
The correct option is B b. iii and iv
Ans: B
Explanation: The Committee is not a classical multilateral organization, in part because it has no founding treaty. BCBS does not issue binding regulation; rather, it functions as an informal forum in which policy solutions and standards are developed.The Basel Committee formulates broad supervisory standards and guidelines and recommends statements of best practice in banking supervision.
Basel norms 1 was introduced in 1988.
b. iii and iv
Ans: B
Explanation: The Committee is not a classical multilateral organization, in part because it has no founding treaty. BCBS does not issue binding regulation; rather, it functions as an informal forum in which policy solutions and standards are developed.The Basel Committee formulates broad supervisory standards and guidelines and recommends statements of best practice in banking supervision.
Basel norms 1 was introduced in 1988.
