The new Basel Capital accord -- popularly known as Basel 2 -- has already made many bankers in Asia concerned about how they will manage their risk when it is implemented in 2004. A lot of the initial reaction to the proposals has been negative banks will go out of business, costs of implementing complicated risk-management technology will be prohibitive. Those are just two of the concerns.
However, the news is not all bad, according to two senior bankers who attended a panel discussion on the accord earlier this week at Hong Kong's Foreign Correspondents Club. While accepting that the new proposals will present the region's banks with some tough challenges, both...
