Under Basel Ⅱ capital regulatory, bank may increase its capital requirement if they lend money to SMEs. It may cause banks reduce their loan to SMEs. But SMEs are very important to Taiwan. How to help SMEs to finance?
In this thesis, ABCP( Asset-backed Commercial Paper) conduit is the best way to help SMEs to finance. Besides, I also collect the capital regulatory of credit enhancement and liquidity enhancement bank under Basel Ⅱ.
