Paris and Berlin seek to dilute bank rules

Artile reported that France and Germany were to call on the 23 January 2012 for a relaxation of global bank capital rules to prevent lending to the real economy being choked off, setting them at odds with the United Kingdom's stricter approach to banks.

A joint paper by Wolfgang Schäuble, German finance minister, and his French counterpart, François Baroin, called for important elements of the Basel III rules to be watered down to mitigate any 'negative effect' on growth.

ESO: Background information: Banks face €350bn Basel III shortfall http://www.europeansources.info/record/banks-face-e350bn-basel-iii-shortfall/

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