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A branch of Barclays bank is seen in Boroughbridge, northern England June 4, 2009.
A branch of Barclays bank is seen in Boroughbridge, northern England June 4, 2009.
(© Nigel Roddis / Reuters/)

Bank capital shortfalls are ugly, but improving

At first glance, the sum is staggering: the world’s biggest banks must raise €141-billion ($191-billion U.S.) to meet the new capital rules set out by the Basel Committee on Banking Supervision.

And of that shortfall, over 80 per cent must be made up by the banks who are “internationally active.” In other words, the banks with the most potential to ruin the system are those that need the most capital. (All figures from a new Basel Committee study that assessed capital levels at the end of 2012.)