In this respect, it is crucial that policies aimed at increasing the level of competition and at liberalising the product markets include the extension and deepening of the EU internal market. The internal market policies have already contributed to an increase in employment and real income in the EU.
In fact the build-up to the crisis occurred under the old Basel I capital rules: most global banks did not even implement Basel II until after the crisis had begun. US banks are still not using it. Basel II is not perfect but it addresses some of the shortcomings of Basel I that were identified by the financial crisis.