With contributions from:

The Centre for European Policy Studies (CEPS) is an independent policy research institute in Brussels. Its mission is to produce sound policy research leading to constructive solutions to the challenges facing Europe. The views expressed are entirely those of the authors. This report is based on discussions in the CEPS Task Force on the New Basel Capital Accord and the Future of the European Financial System. The members of the Task Force participated in extensive discussions in the course of several meetings since March 2002 and submitted comments on earlier drafts of this report. Its contents convey the general tone and direction of the discussions, but its recommendations do not necessarily reflect a common position reached by all members of the Task Force, nor do they represent the views of the institutions to which the members belong. A list of participants and invited guests and speakers appears at the end of this report