The Great Bank Debate
Structural reform of banks does not solve all problems, but, at least for the UK and the rest of Europe, it is a key part of the overall reform package for the financial sector. Now, five years on from the start of the crisis, the debate about how to achieve a more stable, loss-absorbent banking system has finally begun.
https://prosyn.org/I8FBNXY
OXFORD – Christine Lagarde, the International Monetary Fund’s managing director, recently said of the unfinished agenda for global financial-sector reform: “To start, we need concrete progress with the too-important-to-fail conundrum. We need a global-level discussion of the pros and cons of direct restrictions on business models.” Five years on from the start of the crisis, with the publication of the Liikanen report on European Union banking reform, that debate has finally begun.