International Panel Reaches Accord on New Rules for Banking Industry (New York Times)

Sept. 12, 2010 (New York Times) -- Top central bankers and bank regulators agreed Sunday in Basel, Switzerland, on far-reaching new rules for the global banking industry that are designed to avert future financial disasters, but could also dampen bank profits and strain weaker institutions.

Officials confirmed that financial authorities from 27 countries, including the United States, reached agreement Sunday afternoon and would release details Sunday evening.

If ratified by the G-20 nations later this year, the rules will require banks to bolster the amount of low-risk assets they hold in reserve as a cushion against market shocks.

While the American Bankers Association and other groups have complained about the provisions, other bankers said the rules will help avert crises of the kind that nearly plunged the world into depression in late 2008.

READ MORE: New York Times