CapLaw-2012-56

Liquidity Ordinance: In late November 2012, the Federal Council adopted the liquidity ordinance which transforms the Basel III liquidity requirements into Swiss law. It establishes the basis for the introduction of a liquidity coverage ratio (LCR) by 2015 and a net stable funding ratio (NSFR) by 2018 for all Swiss banks. These principles already apply to the two big Swiss banks on the basis of agreements reached with the Swiss Financial Market Supervisory Authority (FINMA) but will be transformed into the ordinance. The ordinance will gradually enter into force from 1 January 2013. The requirements which apply specifically to systemically relevant banks (SIBs) are subject to approval by…