EU regulators warn Brussels on dilution of global banking rules
Europe’s most powerful banking regulators have rebuked the EU’s efforts to implement rules on banks’ capital levels, warning the reputation and competitiveness of the region’s financial sector will be hit by Brussels’ attempts to dilute the global standards.
The EU has delayed the introduction of the Basel bank capital reforms for two years, giving banks until 2025 to implement standards that were put forward for introduction at the start of 2023. The current proposals also include deviations from the deal inked by global regulators, which are aimed at making the package a better fit for the EU’s banking landscape. Politicians are now pushing for further changes as they thrash out the final shape of the package.
The region’s top banking regulators, from the European Central Bank and the European Banking Authority, warned on Friday that they were “very concerned” that in the course of discussions on the package “numerous calls have been made to deviate from the international standards”.
This story originally appeared on: Financial Times - Author:Laura Noonan
