German Financial Industry Regulator Urges Swift Global Adoption Of Basel III
Posted: 27 November 2012 | Source: FinCad
Global lending institutions should quickly implement the Basel III capital requirements, the president of Germany's financial markets regulator the Federal Financial Supervisory Authority, known as BaFin, said recently.
BaFin President Elke Koenig told Reuters reports on November 19 that there is no substitution for adopting these capital requirements worldwide in the shortest timeframe possible. She stated that regulators across the world must collaborate to ensure that global standards are implemented by banks.
She said that the the recent criticisms that have been aimed at the capital regime have caught her by surprise, according to the media outlet. The official reiterated that these rules have been in development for years, and have the objective of ensuring that the global economy will not endure another financial crisis.
Koenig's recent statements on the capital regime were prompted when U.S. Federal Deposit Insurance Corporation director Thomas Hoenig implored the nation's regulators to eliminate their previously-established deadline of January 1 for beginning the adoption of Basel III.
Koenig is calling for this rapid Basel III adoption even as the European Union regulators have yet to finalize their interpretation of the global capital regime.