ECB's De Guindos warns of risks of EU planned bad loan reform
EU finance ministers are close to finalising a broad reform of banking rules which includes, among other measures, a temporary favourable capital treatment for banks that carry out large sales of their bad loans.
De Guindos said the overall reform was a positive step but raised doubts about the proposed measure on bad loan sales which "could not be compatible with Basel standards", he said referring to the Basel Committee, a global banking standard-setting body. (Reporting by Francesco Guarascio; Editing by Alison Williams)
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