What can we expect in China in 2017?

    Jessica Black

    A revamp of global bank capital standards is on hold during the change of administration in Washington, with U.S. and European Union negotiators locked in a “fundamental disagreement” over how to stop banks gaming the rules, according to a senior EU official.

    “Where we can have an agreement will depend on where we will have an interlocutor on the U.S. side” who can “take decisions for the U.S.,” Olivier Guersent, a director-general of the European Commission, the EU’s executive arm, said on Wednesday in Brussels. “We all have democratic processes, and these things happen. So we will simply wait.”

    At vero eos et accusamus et iusto odio dignissimos ducimus qui blanditiis praesentium voluptatum deleniti atque corrupti quos dolores et quas molestias excepturi sint occaecati cupiditate non provident, similique sunt in culpa qui officia deserunt mollitia animi, id est laborum et dolorum fuga. Et harum quidem rerum facilis est et expedita distinctio. Nam libero tempore, cum soluta nobis est eligendi optio cumque nihil impedit quo minus id quod maxime placeat facere possimus, omnis voluptas assumenda est, omnis dolor repellendus. Temporibus autem quibusdam et aut officiis debitis aut rerum necessitatibus saepe eveniet ut et voluptates repudiandae sint et molestiae non recusandae. Itaque earum rerum hic tenetur a sapiente delectus, ut aut reiciendis voluptatibus maiores alias consequatur aut perferendis doloribus asperiores repella.

    At this stage we do not have any concrete indications

    Temporibus autem quibusdam et aut officiis debitis aut rerum necessitatibus saepe eveniet ut et voluptates repudiandae sint et molestiae non recusandae. Itaque earum rerum hic tenetur a sapiente delectus, ut aut reiciendis voluptatibus maiores alias consequatur aut perferendis doloribus asperiores repella.

    Nor again is there anyone who loves or pursues or desires to obtain pain of itself, because it is pain, but because occasionally circumstances occur in which toil and pain can procure him some great pleasure.

    ‘Concrete Indications’

    Ut enim ad minima veniam, quis nostrum exercitationem ullam corporis suscipit laboriosam, nisi ut aliquid ex ea commodi consequatur? Quis autem vel eum iure reprehenderit qui in ea voluptate velit esse quam nihil molestiae consequatur, vel illum qui dolorem eum fugiat quo voluptas nulla pariatur?

    "When you only have one issue to discuss, either you find an agreement or it breaks completely, but it doesn’t need to be long."

    At issue is a so-called output floor, a blunt check on how much lower banks’ estimates of risk can be compared with those produced by standard formulas set by regulators. Under a compromise proposal floated in early December, modeled results can’t drop below 75 percent of the result yielded by the standardized approach. The floor would phase in from 55 percent in 2021 to the full 75 percent in 2025.

    Guersent said that once the changing of the guard in Washington is completed, the talks could reach a relatively quick conclusion because the dispute focuses on a single issue: the output floor. But that may mean the negotiations collapse.

    Leave a comment

    Your email address will not be published.