Why do EU TTIP negotiators want to weaken bank regulations meant to protect taxpayers after the financial crisis? A new Federal Reserve rule requires Deutsche Bank, like all other too-bigto-fail banks operating in the US, to maintain minimum capital and liquidity as a backstop against taxpayer losses in the event of another financial crisis. But the Association of German Banks, led by Deutsche Bank, wants financial services included in TTIP. This would allow Deutsche Bank to continue to avoid Federal Reserve rules in the US, where, according to Morgan Stanley, it has a capital shortfall of $20 billion,
What are European negotiators willing to trade to serve Germany’s biggest bank?
If Deutsche Bank fails, who can bail it out? Deutsche Bank has received BILLIONS in U.S. government support since the economic crisis began:
$11.8 billion in TARP funds as one of the largest counterparties to AIG
$2 billion as the second-heaviest user of the Fed’s discount window
$354 billion from low-cost emergency funding programs. In disclosures made prior to deregistering its U.S. bank holding company on Feb. 1, 2012, Deutsche Bank’s Taunus subsidiary maintained negative Tier 1 capital.
No More Bailouts for EuroBanks! DBRiskAlert.org