28.03.2012 - A report prepared by a Working Group set up in the context of the European Bank Coordination "Vienna" Initiative
This report presents the analysis of the Working Group on Basel III set up in March 2011 and of which the conclusions and recommendations were discussed and adopted at the Full Forum of the European Bank Coordination "Vienna" Initiative in Brussels on 12-13 March 2012. Participation in the Working Group reflected the public-private cooperation effort at the heart of the European Bank Coordination Initiative and included representatives from commercial banks active in emerging Europe, supervisors from both banks’ home and host countries, the European Commission, IMF, EIB, ESRB, EBA, AFME and EBF. EBRD and World Bank staff coordinated the input. The report highlights a number of implications of the Basel III rules for Central and Eastern Europe and emerging markets in general, particularly regarding capital and liquidity requirements, and offers several recommendations to address them. The report points out that future regulation and calibration should better take account of the emerging market perspective and market development needs.