BRUSSELS – The European Commission is launching a public consultation on the introduction of a countercyclical capital buffer for banks in the EU, aimed at trying to limit the impact of booms and busts in the credit cycle. A countercyclical buffer would be a capital add-on to banks’ other capital requirements during good times, but could be drawn down when economic conditions get tough, allowing them to continue lending.

Global Risk Regulator’s articles are exclusively

available to full subscribers

 

Subscribe today to ensure you stay informed about the latest global regulations and standards.

Tel: +44 (0)20 7873 3183
Email: grr@ft.com

Global Risk Regulator
   
Subscribing to Global Risk Regulator ensures easy online access and navigation for the latest analysis, multimedia content, monthly and breaking news alerts straight to your inbox and access to the 10-year archive.
 
Navigate through the regulatory landscape with a subscription to Global Risk Regulator.