As still very much a newcomer to the South African scene, I thought I might take this opportunity to share of few of my early impressions of the South African economy - and specifically of the operation of monetary policy, which is the particular responsibility of the Reserve Bank I should say at the outset that these impressions are very positive.
But in Basel III, the risk weights of residential mortgages depend on the loan-to-value ratios. The output floor is thus set in relation to a benchmark, which itself has become more risk-sensitive. And let us not forget that, in some cases, the standardised approaches have become less costly in terms of capital.