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MILAN, March 24 (Reuters) - Any changes to rules over banks' sovereign holdings must take into account the crucial role that government bonds play in financial markets, European Central Bank supervisor Ignazio Angeloni said on Friday.
International authorities, including the ECB, have been discussing possible changes to current rules that do not set a limit to banks' sovereign exposure and assign a zero-risk weighting to government bonds.
Speaking at a finance seminar at Milan's Bocconi University, Angeloni reiterated the ECB's position that any decision should be taken at the international level and not just European.
"Also, any changes ... should take into account the specific features of government bonds, how widely they are used ... just think of the repo market," he said. (Reporting by Valentina Za, editing by Francesca Landini)