Average 10% cut in SME loan charges possible under Basle II

BASLE II UPDATE

BASLE, SWITZERLAND -- Loans to smaller businesses under the Basle II bank accord would on average require a bank to hold 10% less protective capital than loans to larger companies under plans being worked on by global banking regulators, regulatory sources said in mid-May.

Regulators with the Basle Committee on Banking Supervision, the architect of the complex and controversial Basle II bank capital adequacy accord, are anxious to resolve the vexed question of lending to small to medium-sized

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