Bank CEOs Sound Alarm: Recession Imminent

Bank CEOs are warning about a potential recession as they express concerns over the Basel III endgame, a package of new banking regulations that would increase the level of capital banks are required to hold. The proposal has faced backlash from lawmakers and CEOs, who argue that it would limit lending and force higher interest rates on loans. However, financial regulators argue that higher capital requirements would strengthen banks during financial stress and reduce the risk of taxpayer-funded bailouts. The Basel III endgame has not been finalized and the rule-making process has been extended to January 2024.