Herman van Rompuy: Banks have understood that the EU is serious about its commitment of transparency
19 July 2010
Herman Van Rompuy highlighted that the EC is focusing on more issues than just the supervisory package such as the limit on bankers' bonuses, regulation of the rating agencies, and the introduction of a bank levy.
Speaking at the Brazilian Banker association dinner, Van Rompuy said that stress tests of 91 of the EU's biggest banks will be published, together making up for 65 % of EU bank assets. The exercise is done on a bank by bank basis. The results will be accompanied – if needed -- by concrete measures to restructure and/or recapitalise those banks in need. The markets are reacting rather favourably; Banks have understood that the EU is serious about this commitment of transparency.
As regards the financial sector reform Herman Van Rompuy highlighted that the EC is focusing on more issues than just the supervisory package such as the limit on bankers' bonuses, regulation of the rating agencies, and the introduction of a bank levy.
Concerning Economic growth Van Rompuy stated that in the updated growth forecasts for 2010 which the IMF published last week, China and India would grow with 10.5 % and 9.4 % respectively.
