What is it?
In November 2014, the Financial Stability Board (FSB) issued a consultation paper on total loss-absorbing capacity (TLAC) to be held by banks to ensure adequate resources to recapitalise a bank in resolution. Ministers from the G20 countries welcomed the proposal, but asked the FSB to undertake detailed impact studies to refine the plan for approval at the next G20 meeting, in Turkey in November 2015.
