The Banking Control Commission   (BCC) has issued  two circulars addressed to  Banks  operating in Lebanon as Guidelines for the implementation of some  of  the  requirements  of  the Second Basel Accord for Capital Adequacy (Basel 2) . These  circulars are complementary to other circulars  previously  issued  on this subject.

  The first  Circular No. 256 dated  26/9/2007 includes calculation of the Capital Charge for Market Risk ,  and  the second Circular No. 257 dated 8/10/2007  shows the calculation of  the Capital Charge for Operational Risk.

 The Basel II accord was adopted on June 2004 , by the Basel Committee on Banking Supervision   which is  hosted at the Bank for International Settlements .

BDL and BCC have decided to gradually implement  Basel II starting from  1/1/2008.

 This Accord sets standards for measuring the most important risks that banks might face, and  determine  the appropriate capital charge for these  risks. It also aims at improving the overall risk management framework . 

 The BCC in cooperation and coordination  with BDL will continue to  issue guidelines and take  necessary steps to follow up the  implementation of the remaining requirements  of this Accord .