Threat of crisis persists

Despite the new EU regulations on bankers' bonuses there are still many factors that could precipitate a new financial crisis, writes the conservative daily Die Welt: "Particularly given that [the EU] basically summarised what is already practised at many banks, at least at the management level. A series of large institutions have either already readjusted their bonus systems or are in the process of doing so. So the performance of legislators and regulators must therefore be measured in other areas: When will there finally be binding rules on how much capital banks must have to cover their riskier dealings? How can it be guaranteed that the financial sector covers part of the costs of future crisis? There is much discussion but few concrete results. Europe going solo on this may serve to give the rest of the world a wake-up call, but unfortunately not much more."

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