Arxo Findings Register · Arxo Law

ARXO-2026-0362 · Reported

Basel Framework: CRE31.6

CRE31.6 cites CRE32.43-32.54 for effective maturity, but the maturity rules are CRE32.44-32.55, so the cross-reference is off by one at both ends.

Consequence

Position: Corporate facility under A-IRB with no explicit maturity definition, PD 1%, LGD 45%, EAD 100. Reading a: Literal range CRE32.43-32.54: the CRE32.55 default is not part of the cited calculation, M is not defined, so no RWA. Reading b: Intended range CRE32.44-32.55: M = 2.5 and RWA is computed. Difference: RWA undefined vs defined

Proposed correction

Clarify or correct the cited passage so that the rule and its references give one result for the stated case.

Issued by
Basel Committee on Banking Supervision
Act
Basel Framework CRE31 (in force 2023-01-01, published 2020-03-27)
Place
CRE31.6
Record
Discrepancy
Class
Text of the act
Where it arose
The text of the act
Arxo's conclusion
Confirmed
Official text
Unchanged at last check
Last checked
2026-10-31

Evidence

Contradiction within the text. Quotations are verbatim from the official material; translations are ours and marked.

M is the effective maturity, calculated according to CRE32.43 to CRE32.54
Normative text · Basel Framework CRE31 (in force 2023-01-01, published 2020-03-27) · CRE31.6 · Published 2020-03-27 · retrieved 2026-10-31 · SHA-256 21ddb3898b983c0cfb3eb1575511e20150becdf628cbd124dc649c8a9127657e · copy
Effective maturity (M) will be 2.5 years for exposures to which the bank applies the foundation approach
Normative text · Basel Framework CRE32 (in force 2023-01-01, published 2020-03-27) · CRE32.44 · Published 2020-03-27 · retrieved 2026-10-31 · SHA-256 380431d29284c71db0c84ae1bac673344896b480f941dbb303fa487ad814e015 · copy

How to check it without Arxo's tools

  1. Open Basel Framework CRE31 (in force 2023-01-01, published 2020-03-27) and find CRE31.6. Compare the text with the quotation above. A copy is kept in this register: 21ddb3898b983c0c-CRE31@2023-01-01~2020-03-27.txt (SHA-256 21ddb3898b983c0cfb3eb1575511e20150becdf628cbd124dc649c8a9127657e, copy of the official file).
  2. Open Basel Framework CRE32 (in force 2023-01-01, published 2020-03-27) and find CRE32.44. Compare the text with the quotation above. A copy is kept in this register: 380431d29284c71d-CRE32@2023-01-01~2020-03-27.txt (SHA-256 380431d29284c71db0c84ae1bac673344896b480f941dbb303fa487ad814e015, copy of the official file).
  3. The finding holds if the quoted passages read as shown and the comparison gives the result stated at the top of this page. If it does not, write to us with the record ID.

How this finding was made

AI models read the texts, built the examples and reviewed the findings.

Responsible institutions

Reported to

DateInstitutionChannelReference
2026-10-31Basel Committee on Banking Supervisione-mailhttps://mail.google.com/mail/u/0/#sent/KtbxLthRTjRNkqRtWGvxMWmXhVdckfWkGV

Responses

No response recorded.

History

  1. 2026-10-31Confirmed by Arxo
  2. 2026-10-31Entered in the register
  3. 2026-10-31Reported to Basel Committee on Banking Supervision (e-mail)

Cite this record

Arxo Law, Arxo Findings Register, ARXO-2026-0362, https://arxo.io/findings/ARXO-2026-0362/ (status as of 2026-10-31). Data: ARXO-2026-0362.json.