Senior regulators and central bankers have cast doubt on grave estimates made by the Institute for International Finance (IIF), a financial lobbying group, on the economic impact of the planned reforms to the Basel II framework, arguing they should not be taken as fact because of their reliance on assumptions and hypotheses.
Any analysis of this kind has to be based on a lot of assumptions and hypotheses. The assumptions the IIF has used put its estimates on the ceiling of the possible effects.
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