Banks

Bank manager to complain about strict rules for banks



The banks seem to have overcome the crisis, otherwise it is not to say that we now again have enough self confidence to fulminate against the legislator. In Davos, where currently meets the elite of managers, bankers and politicians, they complained about the numerous new regulations on bonuses, cash and equity.

For example, said Peter Sands, chief of the British bank Standard Chartered, the largest part of the new rules for banks in the last two and a half years, meaningless or sometimes even be harmful. “This is about the same as if the air traffic control would require better and better safety for aircraft.” Says the summary of the bankers.

Sands himself has stood in 2006 at the peak of the British bank. The major crisis he and his bank has weathered sovereign. He even called his bank metaphorically as one of the planes, “which can actually fly, if the system fails to flight safety.” Thus, for example, the demise of Lehman Brothers, “a complete failure of all systems.”

With these views is not the only participant Sands on the podium. Many fear that the stringent requirements could still be expensive. “Tougher regulation of growth affected very negatively. The cost of goods and services will rise, “said the boss puts it, the big bank Goldman Sachs, Gary Cohn.

Finally, the banker also warned against the danger of high inflation. The current low interest rates, rates of economic growth do support the increase, but also the risk of inflation. The task of central banks, it is now, do not miss the moment at which interest rates must be increased again.