EU Ministers Meet to Discuss Bank Resolution

EU finance ministers and central bank governors met in Copenhagen on Friday and Saturday to discuss strategy for solving the economic crisis, the resolution of failing banks and the EU budget.  On the second day of the meeting a common framework for the resolution of failing banks was discussed with Margrethe Vestager, the Danish Minister for Economic Affairs and the Interior, noting that:

“The crisis has shown us how important it is that countries have an efficient and credible system which can step in when banks are failing. Some EU countries have already introduced resolution regimes, but it is important that we agree on a common EU framework in order to ensure a level playing field, create the right conditions for cross-border banking and ensure responsibility in the financial sector. At the same time, we must carefully consider the timing for such a framework, since financial markets are fragile.”