Basel III blamed for aircraft financing drought

Aircraft industry struggling to obtain long-term financing – and some industry officials say Basel III is at least partly to blame

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Basel III is already having an impact on the ability of aircraft firms to secure long-term bank financing – and may end up hampering growth in the real economy, according to senior aviation officials.

The Basel III framework requires banks to hold higher capital, and also introduces new liquidity measures, a capital charge for credit value adjustment and a leverage ratio. In combination, the measures will discourage banks from lending long term, says Kostya Zolotusky, Seattle-based managing

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