EU to Abandon Part of Pillar 2 Leverage Requirements for Banks, Report Due Friday

According to the Financial Times, the European Commission will outline proposals to revise banking regulations on Friday (July 18) in a competitiveness report. As part of broader regulatory reforms to strengthen banking competition, the EU plans to remove certain "Pillar 2" capital requirements related to leverage ratios. These rules currently allow national regulators to impose discretionary add-ons above the EU's 3% baseline leverage ratio requirement.
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