We’re expecting that one outcome of the COVID-19 epidemic will be looser bank balance sheet regulations that may ultimately derail the Basel III framework. Basel III was already strained before 2020 by national regulators giving preferences and exceptions for domestic business models. The latest changes don’t signify a race to the bottom exactly, but they do cause damage to the notion of a level playing field.
This content requires a Finadium subscription. Articles with an unlocked symbol can be accessed with free registration. Log in or create a free account by signing up here..
