The amendments relates to the treatment of counterparty credit risk (CCR) when calculating capital requirements. It update add-on factors for market-related off-balance sheet items such as exchange rate contracts and gold, based on residual maturity periods. It clarifies that the prescribed add-on factors apply to all outstanding counterparty credit risk (CCR) exposures. When a bank acts as a clearing member of a qualified central counterparty (QCCP), a risk weight of 2% applies to trade exposures arising from derivatives and securities financing transactions.
