Company: BBD
Filing Date: 2025-03-31
Form Type: 20-F
Source: 0001292814-25-001244
Chunk: 242

Company: BANK BRADESCO
Filing Date: 2025-03-31
Form: 20-F
Item: Item 5
Chunk 242
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 compared to the increase of R$ 87,026 million in 2023 and a decrease in expenses with   
      interest paid on financing liabilities of R$ 16,416 million in 2024 compared to the increase of R$ 28,219 million in 2023 and a  
         decrease in interest on equity/dividends of R$ 6,541 million in 2024 compared to the increase of R$ 8,927 million in 2023.    
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 We have not identified any legal or economic restrictions that prevent our subsidiaries from transferring funds to us, whether through dividends, loans, or advances, in compliance with the regulations of our regulatory body, which could affect our ability to meet our cash obligations.
 See “FORM 20-F 2023 - Item 5.B. Liquidity and Capital Resources – 5.B.30 Cash flow” of our annual report for the year ended December 31, 2023 for discussion of cash flow for the year ended December 31, 2023.
 
5.B.40 Capital compliance – Basel III
 As a regulatory response to the 2008 global economic crisis, in December 2010, the Basel Committee on Banking Supervision (BCBS) issued a set of documents (Basel III) aiming to improve the prudential framework applicable to financial institutions, enhancing the capacity of financial institutions to absorb impacts of shocks and reducing the risk of transfer from financial crises to the real economy.
 Basel III recommendations stipulate altered capital requirements for counterparty credit risk, both for the standard approach and for internal risk rating based approaches (IRBs) in order to ensure the inclusion of material risks in capital structure. The Basel III Accord recommends the implementation of a leverage ratio as a supplementary capital measure, which, together with the Basel Ratio, aims to limit a financial institution’s risk exposure. It also assesses leverage through the ratio of Tier I Capital to book value assets plus off-balance exposure (overdraft facilities, sureties, guarantees and derivatives).
 In 2011, BCBS extended Basel III rules with additional requirements applicable to unusual instruments of Tier I and Tier II Capital. This review seeks to enhance the quality and quantity of capital of financial institutions, in order to make the financial system more resilient and reduce risks and costs, resulting in an improved prudential framework, defining the regulatory capital and the amount of capital allocated as primary elements. Accordingly, to be included as part of Tier I and Tier II Capital, the instrument should have a provision