German Banks Oppose US Plan Seeking Higher Capital

Monday, 29 Apr 2013 08:59 AM

 

  Comment  |
   Contact  |
  Print   |
    A   A  
  Copy Shortlink

German banks are rejecting a push by U.S. regulators to tighten oversight of foreign banks and impose higher capital buffer requirements, saying the measures would hit their competitiveness.

The German banks' lobby group BdB said Monday the Federal Reserve proposal would put European banks at a disadvantage internationally. The measure would force foreign banks operating in the U.S. to hold as much capital as their U.S. counterparts regardless of how well their overseas parent companies are capitalized.

The measure could prove costly for some banks such as Deutsche Bank AG because of their corporate structure.

U.S. banks operating in Europe are judged on their worldwide capital level.

The European Union's top financial regulator, Commissioner Michel Barnier, also opposes the plan and warns it would increase regulatory fragmentation and invite retaliation.

© Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

  Comment  |
   Contact  |
  Print   |
  Copy Shortlink
Around the Web

Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 

You May Also Like
Around the Web

Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved