Scrap the gold plate: Mnuchin goes global on bank rules

Treasury converges to international standards, but leverage ratio exception may delay Basel deal

Prudential regulation of US banks looks set to converge to existing global standards following the unveiling of a 147-page review by US Treasury secretary Steven Mnuchin on Monday, which will largely end the country’s practice of gold-plating rules agreed at international level.

One big exception is the significant weakening of the leverage ratio beyond international standards, which could make it harder to achieve a long-awaited agreement on the final Basel III package being targeted at this w