The New Basil Three Framework for Bank Capital Standards

Under the new basle three framework for bank capital standards, which are due to come force between next year and the end of 20 18. The world's 29 largest global banks will need to raise an additional five hundredan 66 billion dollars in new capital. This implies a 23 % increase relative to the capital the banks had at the end of20 11. It's far from clear how forcing banks to hold more capital or make fewer loans can be compatible with the goal of sustained economic recovery. Without which financial stability is very unlikely to return here, much less in europe.