Basel Framework: CRE34.11 reference to CRE44.10

CRE34.11 points to CRE44.10 for first-loss treatment of collateral and guarantees on purchased receivables, but CRE44.10 only concerns gross-of-provision measurement.

Consequence

Position: Receivables with guarantee covering first 10. Reading a: n/a Reading b: n/a Difference: No numeric

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 CRE34 (in force 2023-01-01, published 2020-11-26)

Place

CRE34.11 reference to CRE44.10

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.

they may also be treated as first loss protection under the securitisation chapters of the credit risk standard (see CRE44.10).

the quantities defined in CRE44.2(1) and CRE44.2(2) must be calculated using the gross amount of the exposure without the specific provision and/or non-refundable purchase price discount.

How to check it without Arxo's tools

1. Open Basel Framework CRE34 (in force 2023-01-01, published 2020-11-26) and find CRE34.11 reference to CRE44.10. Compare the text with the quotation above. A copy is kept in this register: 1a7a7d754038720f-CRE34@2023-01-01~2020-11-26.txt (SHA-256 1a7a7d754038720f78a23970937c06f955db6b022273491031d3f0782c15f803, copy of the official file).
2. Open Basel Framework CRE44 (in force 2023-01-01, published 2020-03-27) and find CRE44.10. Compare the text with the quotation above. A copy is kept in this register: bd3ae6236ed8d62f-CRE44@2023-01-01~2020-03-27.txt (SHA-256 bd3ae6236ed8d62f77ef45aa6db29eb2711497fe0c6178e329f50924d0d040ef, 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

• Basel Committee on Banking Supervision — maintains the Basel Framework

Reported to

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-2026-0368, https://arxo.io/findings/ARXO-2026-0368/ (status as of 2026-10-31). Data: ARXO-2026-0368.json.