Bank funding: Where are we now?

Most banks comply with the minimum funding requirements published by Basel yesterday, but the is one big question left unanswered

The day after the Basel oversight committee provided details of what capital reserves banks must hold against losses, CreditSights put out this timely table. It shows the core tier-one ratios of the major banks at the end of the second quarter, compared with the end of 2009. And importantly, it shows that just two banks, Italian bank Monte de Paschi di Sienna and troubled Irish institution Allied Irish, fall below Basel's minimum 7% threshold.

But it also shows that Deutsche Bank is a bit of a laggard in terms of its own ratio, at 7.5%, well under the average for the sector of 8.7%, according to CreditSights.

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