They say it’s an opaque body that imposes its rules on banks all over the world. The answer, of course, is that the Basel Committee does not impose anything on anyone; it does not set binding laws. It defines global standards. These standards are mere proposals submitted to lawmakers. It is they who decide whether the proposals are to be transposed into actual laws.
As households cope with shifts in the valuation of their main asset, they may also face lower returns on other investments because of the lower neutral interest rate.16 And since people are living longer, they may need more savings for their retirement years.