Sunday, January 19, 2014
Basal reserve ratio set to 3% – the same as in 2007
The 'too big to fail' problem just got worse
So what just happened in Basel? Well, far from imposing a leverage ratio of 5pc, 10pc or even 15pc, the committee continues to propose a leverage ratio of just 3pc – that’s right, only slightly above that displayed by the UK banking industry just before the last collapse.
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