OCC 2001-4
OCC Bulletin
Subject: Risk-Based Capital
Description: Basel Committee's Consultative Papers
Date: January 23, 2001



TO: Chief Executive Officers of National Banks,
Department and Division Heads, Examining Personnel
and Other Interested Parties


On January 16, 2001, the Basel Committee on Banking
Supervision (committee) published a set of three
documents that initiates a second round of consultation
with the industry to develop proposals to revise the
1988 Capital Accord.  Though a summary of the large
consultative package is attached here, the entire set
of the committee's papers is available on the Basel
Committee's Web site at
http://www.bis.org/publ/index.htm and the Office of the
Comptroller of the Currency's (OCC's) Web site at
http://www.occ.treas.gov.

National banks are encouraged to review and comment on
the committee's proposed revisions. This second
consultative package differs substantially from the
committee's first consultative paper, "A New Capital
Adequacy Framework," which was published in June 1999
and is also available on the committee's Web site.
Because of the substantial increase in the length and
detail of the committee's proposal, we have included a
list of questions, which may assist banks in focusing
their written comments.  

The committee will accept comments on the revised
consultative papers through May 31, 2001.  Comments
may be sent via email to BCBS.Capital@bis.org or to:

Basel Committee on Banking Supervision 
Bank for International Settlements
CH-4002, Basel
Switzerland

Copies of comments may be sent to the OCC via email
to Basel.Comments@occ.treas.gov or to:

Basel 2001 Capital Proposal
Office of the Comptroller of the Currency,
Mail Stop 3-6
250 E Street, SW
Washington, DC 20019

If, after the committee's consultation, the U.S.
federal banking agencies (the OCC, Federal Reserve
Board, and Federal Deposit Insurance Corporation)
concur with the merits of the committee's proposals,
they would propose to alter their capital regulations
using the agencies' rulemaking process.

For further information regarding this bulletin,
contact Roger Tufts, senior economic advisor, Capital
Policy Division, at (202) 874-5070; Tommy Snow,
director, Capital Policy Division, at (202) 874-5070,
or Tanya Smith, senior international advisor,
International Banking and Finance, at (202) 874-4730.


_______________________
Jonathan L. Fiechter
Senior Deputy Comptroller for International
and Economic Affairs


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