While not downplaying potential challenges, the U.S. agencies, in deciding to adjust implementation plans, thought it was important to ensure that implementation in the United States be conducted in a prudential manner and without generating competitive inequalities in our banking markets. As before the September 30 announcement, we continue to work with institutions and foreign supervisors to minimize the difficulties in cross-border implementation.
Our support includes extensive discussion with other countries in the Basel Accord Implementation Group, as well as more informal, bilateral discussions with institutions and foreign supervisors. Our view is that these cross-border issues do not necessarily represent fundamentally new problems; while requiring some work, these challenges are manageable.