Fed's Ferguson defends US position on Basel

The US approach to regulatory capital is "perfectly consistent" with the spirit of the new risk management proposals from the Basel Committee, said Roger Ferguson, vice-chairman of the board of governors of the US Federal Reserve System, this week.

Speaking to delegates attending a PricewaterhouseCoopers Basel II conference in Brussels via a video link in Washington, DC, Ferguson said that on a parallel track with any new accord, member countries have to complete their own domestic processes. He said steps taken by US regulators should not be taken as a sign of the country’s lack of commitment to Basel II.

“Of course it is expected that other countries, and the European Union, will follow their own processes,” said Ferguson. “While our

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