US-based Basel opponents cry "foul" on commercial real estate

Moore argued that it was unfair that “the drafters have chosen to set risk weights on [commercial real estate] without room for adjustment, at substantially higher levels than on loans to other sectors.”Moore said that she believed that “as drafted, Basel II will lead to a loss of credit opportunities in the real estate sector, since the Accord treats lending to this area in an unreasonably disparate manner. It is foreseeable that, as a result, financial institutions will divert their resour

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