Lautenschläger floats idea of two-tier capital regulation for eurozone banks
Capital positions could be split into "requirement" and "guidance" levels, SSM head says
Capital ratios for large eurozone banks could be split into a "requirement" and a "guidance" level, the head of the supervisory arm of the European Central Bank suggested today (June 1).
Sabine Lautenschläger, vice-chair of the supervisory board of the Single Supervisory Mechanism (SSM), said this was one of several "potential changes" to develop the eurozone's Supervisory Review and Evaluation Process (SREP) over the next year. The SSM has direct supervisory responsibility for the eurozone's
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