The Financial Stability Board (FSB) introduced the Total Loss-Absorbing Capacity (TLAC) framework in response to the 2008 financial crisis to mitigate default risk among Global Systemically Important Banks (G-SIBs). This research investigates TLAC's impact on reducing default risk using credit default swaps (CDS). Employing an event study and difference-in-difference approach, augmented by parametric tests for cross-sectional AR correlations and the non-parametric GRANK test, the study analyzes CDS spreads before and after the first and second stage TLAC implementation periods in 2019 and 2022. The findings indicate that initial TLAC requirements in the first stage did not significantly reduce default risk for G-SIBs, except for those based in Japan and Canada. However, the second stage of TLAC requirements showed a statistically significant impact on reducing default risk across all G-SIBs. The results highlight TLAC's effectiveness in enhancing financial stability among G-SIBs.