what are basel iii requirements?
As of 2020, under Basel III, a bank's tier 1 and tier 2 minimum capital adequacy ratio (including the capital conservation buffer) must be at least 12.5% of its risk-weighted assets RWA). That combines tier 1 and tier 2 requirements—the minimum tier 1 capital ratio is 10.5% and the minimum tier 2 is 2%.