Basel group said to consider national firewalls for banks

After targeting global banks deemed too big to fail, regulators are weighing tougher capital rules for lenders whose collapse would affect national economies. The Basel Committee on Banking Supervision is considering extra reserve requirements and tougher oversight for smaller lenders that aren’t caught by measures to protect the world economy from meltdown. The possible firewalls would be discussed at a two-day meeting of the group that starts tomorrow.