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FSA Delays Bank Liquidity Rules 03/08/2010

Source: Reuters

The U.K.’s Financial Services Authority has decided to the delay implementation of new bank liquidity rules. The agency began introducing last October some regulations—which eventually would include higher capital requirements and frequent reporting of liquidity levels, among others—and was expected to accelerate the process this year. The FSA said in a statement that it “believes it would be premature to increase liquidity requirements across the industry at the current time.” It went onto say that it will review its position later this year with a further announcement in the fourth quarter.

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