In December 2009, the Basel Committee on Banking Supervision made proposals to harmonise the oversight of banks’ liquidity. Are these new requirements even more stringent for the banking sector than the proposals for tighter capital requirements?
Dutch Housing Market Quarterly
The housing market in the Netherlands is gradually recovering from the blow dealt to it by the credit crisis. The downward trend in transaction numbers now seems to have been broken, setting the trough at just over 125,000 transactions on a 12 month basis.
In this study the policy options: defaulting on debt obligations, withdrawing support measure for the banking sector, increasing inflation, boosting GDP growth and introducing austerity measures that governments have at their disposal are discussed.
The Dutch economy shrank by 4% in 2009, the biggest post-war decline. However, the much stronger than the foreseen upturn in the world trade is the main reason for the economy regaining growth in the second half of 2009.
India has never been a big player in international trade. Nevertheless, over the past twenty years, the country has developed its trade relations. India started in 1991 with its ‘Look East’ policy, trying to gain better access to regional markets in Asia.
In the past, Cameroon benefited from being a small oil-exporting economy (10% of GDP, but 40% of exports and fiscal revenues in 2008). Oil exploitation created fluctuating trade and budget surpluses and attracted inward foreign investments.
Economic Quarterly Report Dutch version
During the past year the economy was in a deep slump. And although the end of the recession was officially heralded in the third quarter of 2009, the recovery is not yet very convincing. For 2010 the expected real growth of the Dutch economy of 1¾% on average will be below the trend of before the crisis.
Some politicians and market participants are proposing to ban the trading of naked CDSs amid the surge in government bond yields. In our view, therefore, politicians must come up with austerity measures instead of searching for scapegoats.
Monthly Update The Netherlands
Economic Report Dutch version
In this Special Report we focus on these new proposals (‘Basel III’) and on the history that preceded them (Basel I & Basel II). What do these new requirements mean for the financial sector, and what do they mean for the Rabobank? Will the new capital requirements be able to prevent another crisis?