This Policy Document sets out the Leverage Ratio (LR) framework for banking institutions.

The LRis a non-risk based capital measure intended to restrict the build-up of excessive leverage by banking institutions. The LR complements the risk-based Capital Adequacy Framework.

Banking institutions are required to comply with a minimum LR of 3% beginning 1 January 2018.

Details can be found in the following documents:

• Policy document
• Reporting template
• Response to Feedback Received
• Frequently Asked Questions

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