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The coming torrent of government borrowing may make it harder for banks to attract private funding.
If it was enforced, it would make it harder for banks to collude in that process.
Low interest rates make it harder for banks to make profits on their lending.
Indeed, low share prices make it harder for banks to raise meaningful amounts of money without wiping out existing shareholders.
Fear of unsettling investors could also make it harder for banks to eat into their reserves during a downturn.
In December South Korea raised reserve requirements on foreign-currency debt to make it harder for banks to borrow from abroad.
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And regulations make it hard for banks to follow the credit unions' lead.
Low valuations make it hard for banks to raise the capital that would allow them to lend more, as politicians would like.
The European Union's latest bonus rules will make it hard for banks to go back to their old ways, if the boom times return.
That is unnerving customers and making it harder for banks to pull themselves up by their own bootstraps.
Weale argues it makes it harder for banks to raise equity capital, and encourages them to rely instead on debt.
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