Regulators asked for higher capital to cushion the cost of Eurozone banks or soa

The euro zone regulators said Wednesday that they will impose binding targets on most of the euro zone's major banks and force them to increase their capital buffers for up to four years, a move that could push banks' financing costs up.

On November 14, 2017, multiple euro banknotes worth 20 euros. REUTERS / Benoit Tessier
In order to meet their goals, the number of bonds issued by banks that are subject to easy deduction must also be kept to a minimum. Also, bonds issued under British law may need to be replaced with new capital after the recession. Both of these conditions are expected to further increase bank costs.

For the first time, the European Union's Solomon Islands (SRB) said it will set binding targets for "the majority of large and integrated banking groups in the euro area." SRB said the compliance time of up to four years, confirmed Reuters reports on Tuesday. The agency is responsible for determining the bank's capital buffer and for disposing of bank failures.

Under the new rule aimed at reducing taxpayers' costs in the banking crisis, the eurozone banks have been proposed since last year to issue a sufficient amount of debitable debt to absorb losses in the event of a bank collapse. Now for some banks, these recommendations will be binding....