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AS REGULATORS FINE-TUNE the newly increased capital requirements and leverage ratio limits they will shortly be imposing on the financial services industry, bankers fret that regulators will go too far, pile up new requirements higgledy-piggledy and so limit banks’ capacity to lend into the hoped-for economic revival. There are study groups at the Financial Stability Board, the Basle Committee on Banking Supervision and the IMF working on every aspect of the new regulatory framework – with one glaring exception.
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