May, 2024
Casual Guide to Basel III
Economics
In this post, I explore the Basel III framework, designed to strengthen banks after the 2008 crisis. As we approach its full rollout btw ‘25-’28, we can expect challenges like increased capital requirements, which could tighten lending and affect everyday spending. This might lead to price hikes in industries like real estate and even food. I also discuss the oversight gaps in emerging private markets and startups and why I believe its important to address the industry across the board and not just 1 facet.
https://msmudassir.substack.com/p/a-casual-guide-to-basel-iiis-changes
As we navigate the complexities of regulatory frameworks like Basel III, it's evident that collaboration between regulators and industry stakeholders is paramount. A thorough reassessment of existing regulations is warranted, focusing on streamlining processes, fostering innovation, and ensuring equitable outcomes for all market participants. I am happy to see stronger regulatory action but we need to make sure we are hitting all of our focal points and not honing in on 1 particular group.
For those interested I would also highly recommend the following piece by the World Economic Forum on Japan’s monetary policy. While the economics and large scale goals are very different from those proposed/targeted by US regulators and Banks, I still think its an interesting item to read up on :).