The Swiss National Bank’s (SNB) governor, Philipp Hildebrand, has opposed relaxing proposed strict rules to prevent big bank failures, Reuters reports. The proposed measures have been criticized as being too tough compared to international standards.
Switzerland, since the bailing out of UBS, has been weighing rules that would allow big banks to be broken up in the event of a crisis so as to prevent them from dragging down the whole economy. SNB also seeks more regulatory powers to avoid another government bailout. UBS CEO, Oswald Gruebel, said the tougher rules in Switzerland may disadvantage banks.
Click here for the story from Reuters.