Luxembourg, 20/06/2011 (Agence Europe) - On Monday 20 June, the European finance ministers confirmed their agreement in principle on the proposed directive governing the national deposit guarantee funds (EUROPE 10391). These rules protect savers in the event of the collapse of a bank by guaranteeing the reimbursement of their deposits, up to €100,000, within 20 working days.
The Ecofin Council is of the opinion that the national funds should be paid ex ante at a level of 0.5% of all deposits covered by the end of 2020. If this money proves insufficient, the banks may be called upon to make extraordinary contributions, not exceeding 0.5% of their annual deposits covered. The national funds may also be authorised to borrow from the funds of other member states and use this money to pay for preventative bank restructuring measures.
As of 2016, the banks' contribution to the funds will be calculated on the basis of an element in line with the risks they undergo and another element not linked to these risks. The European banking authority will produce guidelines on the methodology to be used to calculate this contribution.
The Council will now launch informal negotiations with the European Parliament. The competent committee of the EP recommends an ex ante endowment of the national funds at a level of 1.5% of the deposits covered within 15 years (EUROPE 10385). Keeping in place the period of 20 days for reimbursement, it is calling for depositors to be given €5,000 within five working days, to cover their immediate needs. (M.B./transl.fl)