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Making Basel III work for developing economies

Any rush to implement improved regulatory standards must take into account the particular needs of developing markets, write Liliana Rojas-Suarez and Thorsten Beck of the Center for Global Development’s task force.
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The regulatory reform effort following the 2008 financial crisis – most prominently through Basel III – was led by advanced economies, but for these standards to work, they must be implemented without unintended or harmful consequences for emerging markets.

The Center for Global Development led a task force that includes current and former senior officials from central banks to analyse what needs to happen for Basel III to meet the financial stability needs of all countries. Here is what we found.

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