"Instead of constantly coming up with new ideas, firstly, the work on our desk should be finalised”, says the Managing Director, Andreas J Zehnder. This includes the implementation of the centralised EU banking supervision, which should be limited to systemically important credit institutions with a high risk potential. The proposal for a Directive concerning the recast of the deposit guarantee schemes has been frozen for some time. "The aim is”, comments Zehnder, “to untangle the Gordian knot between the Commission, Council and Parliament in order to achieve a risk-adjusted solution".
The European Federation of Building Societies has also objections with regards to the content of the current proposal. The proposal provides for a single European resolution fund. This finally might bear the risk that sustainable credit institutions and their customers have to pay for high-risk business models. It is more than doubtful to establish an additional resolution authority. Common national standards should be sufficient. To define these standards is still an open task as well.
© EFBS - European Federation of Building Societies
Documents associated with this article
|
|
PR-EFBS-SRM_2013_11 7 2013_EN.pdf
|
Key
Hover over the blue highlighted
text to view the acronym meaning
Hover
over these icons for more information
Comments:
No Comments for this Article