At the end of 2009, the average Tier 1 capital ratio stood at 10.2 per cent while at end2018, this had improved to 16.3 per cent.7 Today, capital requirements of banks are decided by different authorities and institutions.8 This reflects the various elements that need to be taken into account when assessing bank capital requirements.
Growth over 1997 probably exceeded 3½% from the fourth quarter of 1996 through the fourth quarter of 1997, while inflation, measured by the CPI, was only about 2% over the same period. This is a remarkable outcome, particularly in relation to the consensus forecast at the beginning of 1997.