Your English writing platform
Discover LudwigExact(6)
In countries where the banking system was very large, he said, it was in the interests of the government to have a much tougher leverage ratio.
The big banks swear up and down that to subject them to a tougher leverage requirement (less debt, more equity for them) would somehow derail the economic recovery or even crater the global economy.
Mr Osborne stipulated that he wanted to see "clear evidence" that imposing a tougher leverage ratio on British banks would improve financial stability and that he would "wish to understand" the impact on the ability of banks to fund the real economy.
Yet higher capital requirements are already in place, with further steps in the works, including a tougher leverage ratio at the initiative of the Federal Deposit Insurance Corporation (so the country's biggest banks would need to finance themselves with relatively more equity and relatively less debt).
She was also asked at the committee whether the FPC should have urgent powers to impose tougher leverage ratios – a gauge of the risks being run by banks – and had annoyed members by saying she did not think such extra measures were necessary.
In a 571-page report issued last month, the Commission had called for a much tougher "leverage ratio" for banks - a measure that limits the total amount of loans and investments a bank can make relative to the amount of capital the bank holds to absorb losses on those assets.
Similar(52)
They could then finance themselves in capital markets and wean themselves off the support of the European Central Bank.A tough leverage ratio is no panacea.
Some steps to boost banks' capital and liquidity do make finance more self-reliant: America's banks face a tough new leverage ratio (see article).
Traditional higher education institutions have struggled to build apprenticeships into curriculums; states haven't developed a strong enough infrastructure to support their growth; employers have had a tough time leveraging them.
There is a split of opinion within officialdom, and the F.D.I.C. still wants to do the right thing – put a tougher cap on leverage.
Meanwhile, the governor is expected to defend the Bank's tough rules on leverage ratios for lenders amid robust criticism from the business secretary, Vince Cable, last month.
Write better and faster with AI suggestions while staying true to your unique style.
Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com