Brussels, 28/05/2013 (Agence Europe) - Addressing the European Parliament's economic and monetary affairs committee on Monday 27 May 2013, EU Internal Market Commissioner Michel Barnier said that the European Commission is planning to unveil in a few days' time a draft eurozone bank restructuring mechanism.
Barnier said that, with a common bank resolution fund financed in advance by banks, along with a resolution authority, the restructuring mechanism, combined with the almost finalised bank supervision mechanism, would finally break the connection between struggling banks and state debt, saying that the new system should be up and running in 2015.
Commenting on harmonisation of existing bank restructuring schemes, which has been subject to intense negotiations in both the Council of Ministers and the European Parliament (see EUROPE 10845 and 10849), the commissioner listed a number of key issues, namely finance for bank resolution, managing cross-border crises (the home/host connection) and bail-in questions like the hierarchy of creditors and the date when the system will come into force.
Barnier warned the United States against introducing bank capital requirements that discriminated against European companies: “If there are discriminatory measures on one side, we will do the same. We need a level playing field”. (MB/transl.fl)