The G20 summit in Seoul did not produce a final agreement on Basel III as hoped, but revealed that Asian banks are likely to be held to less stringent requirements.

G20 Leaders endorsed the Basel Committee’s new bank capital and liquidity framework and committed to adopt and fully implement the framework within the agreed time frame. They also endorsed the FSB’s agreed policy framework for reducing the moral hazard posed by SIFIs, and asked that remaining work be completed in accordance with the endorsed work processes and timelines in 2011 and 2012. The key elements of the policy framework are covered in a separate press release.   Source: The Asian Banker

BIIA Newsletter November II – 2010 Issue