Setting a limit to leverage in banking
Published on Wednesday, May 18, 2016 | Updated on Friday, May 20, 2016
Setting a limit to leverage in banking
Summary
The global leverage ratio framework is to be finalized in 2016, in order to be implemented in 2018, and will help preventing excessive indebtedness in the banking sector to promote financial stability. Banks will have to consider both risk-sensitive and non-risk-sensitive minimum capital requirements when making decisions
Topics
- Topic Tags
- Financial Regulation
Authors
Rosa Gómez