FRANFKURT (MNI) – A Cypriot proposal to limit bank supervision by
the European Central Bank to systemically-relevant institutions is to be
discussed over the next two days, the Financial Times Deutschland
reported on Thursday.
According to the German business daily, Cyprus – the current holder
of the European Union’s rotating presidency – envisions the ECB also
overseeing any institutions supported by the EU’s bailout funds, namely
the European Financial Stability Facility and the European Stability
Mechanism.
The Cypriot idea is seen as a compromise, the FTD said, between
giving the ECB oversight over all 6,000 of the Eurozone banks but
delegating daily monitoring to national supervisors, and Germany, which
wants to limit ECB supervision to only the largest banks.
— Frankfurt bureau: +49 69 720 142; email: frankfurt@mni-news.com —
[TOPICS: M$$CR$,M$X$$$,M$$EC$]
