BASEL (MNI) – The Basel III bank reforms agreed on Sunday are very
welcome and point to the end of a period of uncertainty, European
Central Bank Governing Council member Miguel Fernandez Ordonez said on
Monday.
“I’m very, very glad with the results from yesterday. I think it
has been unanimous,” the Spanish central bank head said on the sidelines
following a meeting of the Bank for International Settlements here.
“We have a transition period that is enough for everybody. It is
not too long, this is true, but is enough to adopt.” He also said that
it is very important that “we have finished uncertainty. Everybody knows
the capital [requirements], the figures and the transition.”
“Now, we should concentrate on other things: the treatment of
systemically important institutions and other things,” he said.
Asked whether he thinks banks will need to raise additional
capital, Ordonez said it depends on institutions. “Each bank should
study how to change” both the quality and quantity of bond capital.
“For the Bank of Spain, you know that counter cyclical elements
have been very important,” he explained. “The counter-cyclical buffer is
there.”
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