By Christopher Lawton
FRANKFURT--The Deutsche Bundesbank expects the U.S. to stick to
its word and implement the latest banking regulatory standard
without any "legal arbitrage," a top official for Germany's central
bank said Monday.
"There is a fixed schedule and we expect the USA will implement
Basel III to the standard agreed, and that we won't get any legal
arbitrage," Andreas Dombret, executive board member with the
Deutsche Bundesbank, said on the sidelines of a press conference in
Frankfurt.
On Friday, U.S. regulators said that they would delay fully
implementing an international financial regulatory overhaul known
as Basel III, following complaints from smaller banks to the
proposals.
Mr. Dombret wouldn't comment on reports of the delay directly,
but said, "I am assuming the Americans will keep their word" and
implement Basel III.
Write to Christopher Lawton at christopher.lawton@wsj.com