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As the pandemic sparked financial market turmoil, the world’s banking regulators managed to adopt and apply the lessons of the global financial crisis.

In a new report, the Bank for International Settlements said the implementation of the post-crisis reforms in the banking sector, known as Basel III, continued even amid the market disruption inflicted by Covid-19.

“In fact, many jurisdictions used the existing flexibilities in the Basel framework to provide regulatory relief during the pandemic,” the report said.

Regulators took advantage of provisions in the global capital rules that were created in response to the global financial crisis to help banks ride out the pandemic and continue providing credit to households and businesses.

At the same time, regulators continued to implement aspects of the Basel III reforms that have yet to be fully adopted.

“Jurisdictions have made further progress in adopting the Basel III standards despite the disruptions resulting from Covid-19 and the required shift in regulatory and supervisory priorities,” the BIS said.

Specifically, it noted that final rules establishing countercyclical capital buffers are now in force in all major markets.

Additionally, three more countries have adopted final rules on total loss-absorbing capacity (TLAC), four jurisdictions adopted the net stable funding ratio (NSFR) standard, and two implemented final rules on the standardized approach for measuring counterparty credit risk and capital requirements for equity investments in funds.

Regarding provisions of the Basel III requirements with deadlines still in the future — such as the revised operational risk framework and standardized approach for credit risk — several countries continued making progress there too, the BIS said.