(Corrects story link in paragraph 3)
TOKYO, Dec 16 (Reuters) - Shares of Mizuho Financial Group (8411.T) opened up 21.5 percent on Wednesday after a media report that global banking regulators have agreed to establish a transition of at least 10 years for new capital rules, effectively delaying their implementation.
The Basel Committee on Banking Supervision is putting together a package of stricter financial regulations to prevent another credit crisis, including lifting the minimum capital ratio banks are required to maintain from the current 8 percent and reforming the definition of core capital.
The committee will stick to its plan to gradually implement changes starting in 2012, but will create a transition period of 10-20 years, meaning the new regulations will not be fully in place until the 2020‘s, Japan’s Nikkei business daily said. [ID:nTOE5BE0A0]
Mizuho shares were up 17.7 percent at 185 yen while those of No. 3 bank Sumitomo Mitsui Financial Group (8316.T) were untraded and overwhelmed with buy orders, with the price indicated at 2,970 yen, up 12 percent from Tuesday’s close. (Reporting by Elaine Lies)