EU agrees on new banking regulations

ADVERTISEMENT

European Union Finance ministers have reached a breakthrough agreement to reform bank capital rules in what is considered a step towards strengthening the bloc's financial stability.

Friday's accord was the result of 18 months of negotiations between the 28 EU governments to iron out how to apply the financial regulations put in place after the 2008 financial crisis.

Germany and France fully backed the agreement while other members, including Italy and Greece, called for the deal to be matched by an agreement on sharing banking risk by June.