FRANKFURT (MNI) – A comprehensive supervisory role for the European
Central Bank could conflict with monetary policy and its primary mandate
of price stability, the Bundesbank warned Monday.
In its monthly report, the Bundesbank also said a unified EU-wide
approach to banking supervision was “desirable,” even if non-Eurozone
members could have the possibility to opt out of the common supervision.
The long-term goal should be for all banks to fall under common
supervision in order to avoid regulatory arbitrage, the report said.
But the Bundesbank warned: “A comprehensive responsibility of the
ECB for banking supervision entails the risk of conflict with the
primary goals of monetary policy and price stability.”
— Frankfurt bureau: +49 69 720 142; email: ccermak@mni-news.com —
[TOPICS: M$X$$$,M$$EC$,MGX$$$,MT$$$$,M$G$$$,M$$CR$]
