The German finance minister, Olaf Scholz, wants rapid action on reducing banking risks, for instance by limiting gross non-performing loans (NPL) to 5% before the European Stability Mechanism (ESM) is authorised to play the role of common backstop for the Single Resolution Fund (SRF), the financial arm of Banking Union in the Eurozone.
We need to act quickly to reduce the stock of NPL, the minister told a debate at the economic and monetary affairs committee of the European Parliament on...