Basel by again favoring the infallible AAAristocracy, deals another blow to the risky commoners of the real economy.

Sir, in your “Basel bends on liquidity rules” you write “a broadened class of eligible assets… makes the liquidity coverage ratio less onerous [for the banks]” January 8.

That is correct, for the banks, but absolutely not for those not included in the “broadened class of eligible assets”. For “The Risky”, the unrated or not so good rated small medium businesses and entrepreneurs, the commoners of the real economy, they will have to face even worsened conditions when accessing bank credit.

In the real economy, those perceived as more risky than others are those who on the margin are the most affected by regulations which favors the aristocracy of “The Infallible”. And this is what Basel bank regulators fail entirely to understand, probably because they have never ever left their desk and walked around in the real economy.

The taxpayers, the unemployed, especially the young, the banks,“The Risky”, of course, but even "The Infallible", the Sovereigns and Triple-A rated aristocracy, we are all going to pay dearly for having entrusted our banks to these regulators.

When are these Basel bank regulators stop concerning themselves exclusively with the health of the banks and start thinking about what the impact of their regulation has on the real economy? Do they really believe banks can survive even when the real economy sinks?