ABSTRACT
INTRODUCTION ere is fairly general agreement on the bene ts of some regulation in the nancial system [and a further discussion of the motivations for bank regulation can be found in section 1.5.1]. In this chapter, we turn to the structure of the international regulatory framework and discuss its main features, focussing in particular on regulatory capital. Before reviewing the precise rules, however, it might be helpful to discuss certain dilemmas in setting capital requirements.
