STRASBOURG (MNI) – A number of non-Eurozone countries are
considering submitting their banks to the supervision of the European
Central Bank, which the European Commission on Wednesday proposed should
become the ultimate supervisory authority for all banks in the
17-country currency bloc.
“Some countries are seriously thinking about that possibility
already,” said the EU’s Internal Markets Commissioner Michel Barnier,
adding that “various of them are thinking the might like to join the
single supervisory mechanism.”
Under the Commission’s proposal, which must be adopted before the
Eurozone’s bailout funds can begin recapitalising troubled banks
directly, EU member states that do not use the euro currency could opt
voluntarily to have their banks supervised by the ECB.
Poland and some other possible candidates are understood to be wary
of the idea, however, because of concerns they would not have adequate
representation in the new system, while Sweden and the United Kingdom
are thought certain to stay clear.
Barnier sought to allay these concerns by promising that voluntary
members could be “associated to the decision making process,” but
acknowledged that there are some legal complications that would rule out
such countries gaining equal power with Eurozone members.
For non-Eurozone Lithuania, where the banking system is dominated
by Swedish banks, the issue is moot while for Eurozone member Estonia,
whose banks are also Swedish-owned, the impact is unclear.
On the proposal’s intention to grant the ECB the power to set
capital requirements for banks, Barnier clarified that these would be no
greater than the margin allowed to national supervisors under EU-wide
bank capital rules.
— Brussels newsroom pkoh@marketnews.com, +32(0)495228374
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