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LBMA hopes European Banking Authority will exempt bullion banks from Basel 3 as UK just did – Investment Watch


Dear Friend of GATA and Gold:
Having just gotten from the Bank of England an exemption from the “Basel 3” protocol that threatened to make the “paper gold” business prohibitively expensive for bullion banks, the London Bullion Market Association announced yesterday that the European Banking Authority has agreed to consider reducing the burden that Basel 3’s “net stable funding ratio” imposes on bullion banks in the European Union.
The LBMA statement added that the organization is “exploring further lobbying efforts” with other jurisdictions about the Basel 3 burden.
The LBMA report, headlined “Net Stable Funding Ratio: Update,” said:
“European Union: Following a request by LBMA to the European Commission, an assessment is being carried out by the European Banking Authority (EBA). The EBA shall assess whether it would be justified to reduce the net stable funding ratio for assets used for providing clearing and settlement services of precio ....

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Basel 3 already has demolished claims that central banks don't rig the gold market – Investment Watch


5:31p ET Monday, June 7, 2021
Dear Friend of GATA and Gold:
Many predictions are being offered about the impact of the “Basel 3” regulations on “unallocated gold” that have been proposed by the Bank for International Settlements and that the European Banking Authority has scheduled for implementation in the European Union at the end of this month.
Some observers foresee an explosion in the gold price, likely carrying silver and other metals with it, while others expect nothing special at all, figuring that central banks would never do anything favorable for the once and potentially future world reserve currency, which even now competes most inconveniently with their own currencies. ....

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