The European Parliament made a resolution following the Pittsburgh G20 Summit. It welcomes the commitment of Finance Ministers and central bank governors to international reform of:
- high-quality capital and mitigation of pro-cyclicality (including commitment to adopt Basel II by 2011);
- reforming remuneration practices;
- improving OTC derivatives markets;
- addressing cross-border resolutions (it regrets the leaders did not talk about moral hazard and postponed discussion of the link between prudential standards for systemically important firms and costs of their failure) and systemically important financial institutions (and asks the FSB to consult it before approving proposals for systemically important institutions due by October 2010); and
- reforming supervision in the financial sector.
