However, in contrast to the capital held under Basel II, the resources that are contributed to the fund are lost to the individual banks. Thus, the Stabilisation Fund puts an outright (Pigouvian) tax on risk-taking in order to internalise the effects of risky activities on financial stability.
As an ex post instrument to put a burden on the originators of the crisis, such a tax might be justified. Nevertheless, as an ex ante steering tool, the proposed fund has major shortcomings. First, it would drain capital from banks. But, more importantly, it would not solve the moral hazard problem.