In the wake of the Credit Suisse emergency takeover, Switzerland's financial regulatory framework is under scrutiny. The Swiss Financial Market Supervisory Authority (FINMA) is being called upon to enhance its oversight capabilities. UBS, the country's largest bank, is facing pressure to maintain higher capital reserves. The Swiss Social Democrats are advocating for an additional $40 billion in capital from UBS, emphasizing the need for stricter regulations in the banking sector. This includes proposals for increased equity requirements and tighter bonus regulations aimed at reducing the size of UBS. The bank is reportedly seeking support from industry and trade associations to fend off these stricter capital requirements.