Germany takes steps to curtail risky banks

Written By Unknown on Rabu, 06 Februari 2013 | 19.50

THE German government has agreed on a draft law that paves the way for criminal prosecutions for bankers who take excessive risks.

The bill, to be put before Parliament this year, also requires banks to separate retail activity from proprietary trading if it goes beyond a certain threshold.

Finance Minister Wolfgang Schaeuble told reporters in Berlin on Wednesday that the move was being co-ordinated with France as part of an effort to draw lessons from the 2008 financial crisis.

Schaeuble says up to a dozen German banks would need to separate their retail and trading activities.


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