Economics

EU banks’ capital requirements set to jump 10% under Basel III

Debate continues over how new banking standards should apply across the bloc

Banks will have to hold more in reserve, but it won't threaten the recovery, says Alexandra Jour-Schröder
Banks will have to hold more in reserve, but it won't threaten the recovery, says Alexandra Jour-Schröder Photo: Jasper Juinen/Getty Images

EU banks could see their capital requirements increase by 10% under the rollout of Basel III reforms, according to one of the bloc’s top officials.

Alexandra Jour-Schröder, deputy director general for financial stability, financial services and capital markets union, said that once the accord’s transitional period had ended, banks could expect an average hike to capital requirements of 10% based on the EU’s latest analysis.

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