What role for social banks in overhaul of financial sector?

Meeting in Brussels in January, the European Federation of Ethical and Alternative Banks and Financiers (FEBEA) saw an important role for social banks in overhauling the financial sector. But there are barriers to social banks assuming this role. The current regulatory environment, in the view of meeting participants, is aimed mainly at the big banks, which have different economies of scale and models, and is not suitable for smaller social investment banks. In addition, participants agreed, there is a need for wider debate and agreement about what responsible lending means and how it can be measured.