Buba’s Zeitler: regulatory capital a key issue
The capital measures debate represents an important step towards preventing the next crisis, said Franz-Christoph Zeitler, the vice-president of the Bundesbank.
Zeitler said strengthening institutions' capital base made the financial system more robust. He said higher capital requirements made it more difficult to build up excessive balance-sheet leverage and increased caution towards risky business models as owners' liability gained greater weight. But he also said regulators should not
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