The agreement reached last week by the Basel Committee on Banking Supervision (BCBS) to complete the Basel III post-crisis bank capital framework is a significant milestone and a huge achievement for the BCBS.

But while it gave the banking industry, investors and analysts much more clarity about the final global capital standard, it is by no means the last word.

The BCBS has now passed the baton on to its members to translate these new standards into legislation, rules and supervisory practices.

The implementation deadline of 2022 that the BCBS has set looks challenging (even though the transition period for one part of it stretches to 2027). Further complications will arise if national legislators or regulators choose to depart from the global standard to reflect the specificities of their own banking systems. These complications will be particularly acute for internationally active banks. This isn’t over yet...

For more analysis, read our blog: Five things to remember about Basel III