The European Commission assured on Monday 20 April that it was not working on the creation of a European bad bank, which would allow euro area banks to free themselves of their doubtful bank loans as part of its economic response to the COVID-19 pandemic.
“I can confirm there is no work underway on this within the European Commission”, said Daniel Ferrie, a spokesperson for the institution.
The existence of discussions between senior officials of the European Central Bank (ECB) and the...