Economics
European Banks Seek Virus Relief in Demands to Regulators
- Lenders looking for reprieve from capital, liquidity standards
- Lobby group EBF comments in letter to European authorities
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European banks are asking regulators to roll back safety measures agreed after the last financial crisis so that they can deal with the impact of the coronavirus that’s crippling the region’s economy.
Their requests range from lowering liquidity and capital buffers to looser rules on bad loans, according to a letter published late Wednesday and sent to European Union authorities. The lenders are arguing the steps are needed so that they can “help the European economy navigate through the temporary difficulties” caused by the deadly virus. Bloomberg first reported the contents of the letter.