FRANKFURT (Reuters) – The vice president of Germany's Bundesbank has proposed setting limits for how much banks may lend to governments plus backing these exposures with adequate capital to create them less reliant about taxpayers' aid inside crisis instances. Sabine Lautenschlaeger, that is moreover a associate of the Basel Committee about Banking Supervision that wrote the new worldwide banking specifications well-known as Basel III, told Reuters present regulation was setting the incorrect incentives. …
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