Basel III

Ask a room of central bankers how many of them want a less stable financial system, and you will find that few (if any) will raise their hand. Ask how many of them support intrusive, costly supervision, endless box-filling and process-heavy enforcement, and the result will be the same. This contradiction is at the heart of the Basel Committee’s recent statement, supported by all members, including U.S. members, calling for the Basel III rules to be implemented “fully and consistently.”