Concern continues over US Basel II
WASHINGTON, DC – US Congressmen have expressed concern that the current plan for the implementation of Basel II may be ineffectual in mitigating operational risk, and will have dire consequences for existing banking processes in the US.
At a Congressional hearing on the regulatory proposals for the Basel Accord held by the House Committee on Financial Services, representative Spencer Bachus voiced apprehension that: "The US interpretation of the Basel rule is less sensitive to risk than the international version of the Accord."
Bachus went on to express mystification that: "As I understand it, despite the US implementing Basel II differently to other countries, American banks will still have a higher capital requirement than
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