With South Korean banks facing tougher capital buffers in less than two weeks, the new capital rules about borrowing money are stoking fresh woes for smaller companies and low-credit groups, financial sources said Thursday. Local banks and bank holding companies will need to set aside a higher portion of capital reserves against risk-weighted assets under the Basel III capital requirements as of Dec. 1. Basel III is an updated version of Basel II, which was drawn up by the members of the Basel Committee on Banking Supervision (BCBS).