The Eurogroup will try to reach an agreement on a work programme to complete the banking union in the euro area by 2030 in Luxembourg on Thursday 16 June.
After two ministerial meetings in an inclusive format, some Member States seem ready to compromise on the basis of the draft submitted to them by Eurogroup President Paschal Donohoe (see EUROPE 12944/23, 12942/21).
However, other countries continue to repeat their red lines and the positions of Italy and Germany remain “at opposite ends of the spectrum”, according to an EU source who attended the Eurogroup talks on Monday 23 May. Rome advocates risk-sharing measures such as the EDIS bank deposit guarantee scheme and rejects any quantification of sovereign risk. Germany, on the other hand, does not want to hear about the pooling of potential losses within EDIS and is pushing for risk reduction in the financial system.
“The meeting we had this evening fully met my expectations regarding our discussion”, said Mr Donohoe, not denying that there were “differences of views”. He said that an agreement on his “finely balanced” draft work programme would be beneficial to the stability of the Eurozone.
See the draft work plan: https://aeur.eu/f/1G6 (Original version in French by Mathieu Bion)