Basel II experts shift focus to securitisation after SME solution

BASEL, SWITZERLAND -- Experts working on the Basel II bank capital rules are focusing on the technically difficult issue of asset securitisation after agreeing a solution to the politically sensitive problem of how lending to small- and medium-sized enterprises (SMEs) should be treated under the pact, international regulators said in early July.

The German government, which faces elections in September, responded to the SME compromise by lifting its objections to the Basel II accord. Germany

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