With an eye on reducing the probability and impact of failure of such global systemically important banks (G-SIBs) as also to reduce the inherent competitive advantages they enjoy in the funding markets, the standard setters have agreed on a combination of capital surcharges, better resolution regimes, living wills, more robust financial market infrastructures and a more intense supervision for these systemically important financial institutions since then.
Large size, excessive interconnectedness, reliance on a single or few firms for the provision of key financial infrastructure, and complexity of operations and cross-border activity have been identified as key indicators of systemic importance of internationally active banks by the Basel Committee on Banking Supervision (BCBS).