Commerzbank’s bold liability management exercise – the first to address Basel III at both ends of the capital structure – shows that banks need not wait for national and European regulators to finalise minimum capital requirements. It also serves as a possible blueprint for Germany’s other banks to strengthen their capital base.
Malta's domestic banking sector is small and follows traditional principles, yet a steadily growing international banking presence is capitalising on interesting new opportunities such as those presented by the island’s emerging fund management and insurance industries.
Since the Greek sovereign debt crisis unfolded, many European politicians have accused speculators of using credit default swaps to bet on sovereign default and thereby intensify a debt event. Research – some by the European Commission itself – has shown that this causal relationship does not exist. Yet there is significant support for action.
While the rest of the world recovers from the financial crisis, Europe’s sovereign debt crisis is still playing out and the euro is fighting for its survival. The Banker talks to senior economists from the region to find out what lessons have been learnt and what their expectations are for the future of the single currency
Sir David King, former chief scientific advisor to the UK government, believes the UK's policy-makers and financiers fail to support its promising low-carbon sector. The Smith School of Enterprise and the Environment, which he heads, is working to change that.
With all eyes on the eurozone sovereign debt crisis, the success of two consecutive offerings would be critical in underpinning the European response. The market's reaction to the issues from the European Financial Stability Mechanism and European Financial Stability Facility was conclusive.