Basel III should aim higher on capital targets: Bank research


The common equity target ratio set under the Basel III accords could do with being more "ambitious", a paper published on Thursday and co-authored by David Miles, an external member of the Bank of England's Monetary Policy Committee, said.

The minimum requirement under the accord, of 7% of risk-weighted assets to be held in the form of common equity, was a step in the right direction, Miles, Jing Yang and Gilberto Marcheggiano, said.

"[It] corresponds to a minimum level of loss-absorbing capital

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