Until then, there is a modified version of the template that banks must use.
Up to 2018, banks are allowed to make a number of deductions as they near full compliance. But in financial statements they file from 30 June 2013, they will have to lay out deductions according to the new template, as well as revealing other elements of their capital positions as required by Basel III.
Banks’ reporting under the new system will not be limited to annual updates. Whenever their capital position changes in a way that affects its compliance with the regulations.
Banks must provide a full reconciliation of all regulatory capital elements back to the published financial statements.
In a bid to boost transparency, banks must publish on their websites “the full terms and conditions of regulatory capital instruments”.