#banksonbasel: Dr. Jürgen Kullnigg

Dr. Jürgen Kullnigg Member of the Boards of Managing Directors of UniCredit Bank AG and of vdp

Why is Basel III detrimental in terms of mastering present-day challenges? 

The construction of affordable housing and the energy-efficient renovation of existing buildings are central tasks so that the European Union can achieve its climate protection goals and meet its social demands. To be successful, the real estate industry depends on a long-term stable and predictable financing environment. Banks are of particular importance here. They provide the financial means for the transformation. Basel III weakens the important role of banks by making them pay a significant capital premium for this low-risk financing business. This has an impact on the credit policy of the banking system.