Oct. 26 (Bloomberg) -- European Union leaders will set a deadline of June 30 2012, for banks to hold core capital reserves of 9 percent, according to a draft statement prepared for a summit today.
The reserves would have to be of the “highest quality” capital, the document, obtained by Bloomberg News, says.
The European Commission, the 27-nation EU’s executive arm, will be tasked with “urgently exploring” how to coordinate national measures to provide liquidity to banks, the draft statement says.
“A simple repetition of the 2008 experience with full national discretion in the setting-up of liquidity schemes may not provide a satisfactory solution under current market conditions,” according to the draft statement.
To contact the reporter on this story: Jim Brunsden in Brussels at firstname.lastname@example.org
To contact the editor responsible for this story: James Hertling at email@example.com