Brussels, 14/11/2008 (Agence Europe) - One might have thought that the financial crisis would lead member states to the logical conclusion that we need greater integration of supervision of cross-border financial institutions, said EU Internal Market Commissioner Charlie McCreevy on Wednesday 12 November 2008, as he unveiled a proposal to regulate credit rating agencies (see EUROPE 9781). But the commissioner said rumours were circulating that the French Presidency of the EU was considering (in order to facilitate political dialogue on the draft Solvability II Directive to reform the European insurance industry) withdrawing vital elements like support measures for groups, and he said this was “not a very good sign”. Being hard on countries which make sweeping statements about wanting to move forward while at the same time refusing to take ambitious measures whenever one gets down to specifics, McCreevy said that the European Commission's initial proposals were “reasonable and un-revolutionary” and should be seen as a unit.
The European Parliament's economic and monetary affairs committee has adopted a draft report on Solvability II (see EUROPE 9757), but discussions at Council level are at a standstill due to 15 or so member states refusing to budge on questions connected with the supervision of pan-European insurance companies (see EUROPE 9756), to such an extent that the issue was not ready for discussion at the November ECOFIN Council. France explains that it is difficult for the Council to lead the way in integrating the supervision of European financial institutions without pre-judging the outcome of the work of the Larosiere group of experts currently studying specific proposals for the March 2009 European Council. (M.B./transl.fl)