Even if larger regional banks do not formally choose to operate under Basel II for regulatory purposes, we expect they may wish to make use of the risk-management process that underlies Basel II. Indeed, I should emphasize that the movement toward more-sophisticated risk management, the prerequisite of A-IRB and AMA, is occurring, and would continue to occur, independent of Basel II.
The COVID-19 pandemic has led to an increased focus on climate change issues. Making the economy greener is a goal shared by both advanced and developing economies. In response to the demands of society and in order to achieve economic growth over the medium to long term, efforts should be stepped up on a global basis.