Cause and Effect in European Politics and Law
The Banking Union

The Banking Union

In June 2012, the EU leaders have agreed to undertake a big step forward in the deepening of the integration of the Union by creating a banking union. In spite of the huge ambition with which the EU leaders started back then, the construction is going on slowly and hesitantly and along the way some of the bolder ideas are dropping off. How did it all began and how is it moving forward you can follow in this special subject we have dedicated on the banking union.
Elke Koenig | © European CommissionElke Koenig | © European Commission

Banking Resolution Is Now Available in Uncertain Legal Environment

The Bank Recovery and Resolution Directive (BRRD) is not yet fully transposed and the different legislation in member states pose a risk to the work of the second pillar of the banking union, which is in full operation since January 1st. Those are some of the problems, laid out by Single Re ...
 | © European Commission | © European Commission

Ideological Clash in ECOFIN on the Deposit Insurance Scheme

A real verbal shootout exploded between the ECB and Germany on December 8th, when the Council of finance and economy ministers of the EU (ECOFIN) discussed for the first time the proposal of the European Commission regarding the third pillar of the banking union – the European De ...
 | © European Parliament | © European Parliament

Bulgaria Cannot Participate in the 1st Pillar of the Banking Union Without Being Part of the Second

On 1 January 2015 has started functioning, although not at full steam, the second pillar of the banking union - the single resolution mechanism for failing banks. In November 2014, the European Central Bank (ECB) has assumed its new supervisory functions and as of the beginning of this year the ...
 | © European Commission | © European Commission

Joining Banking Union Isn't a Panacea

After consultations with the parliamentary political parties, Bulgaria's President Rosen Plevneliev announced [in Bulgarian] a surprising piece of news, namely that a full consensus had been achieved an immediate procedure to be launched for Bulgaria's accession in the Single Supervisory Mechani ...
Elisa Ferreira | © European ParliamentElisa Ferreira | © European Parliament

Finally a Compromise about the Banking Union's 2nd Pillar which Finds EU Treaties Completely Exhausted

The good news with which the spring began in the European Union is that, finally, an agreement has been reached on the second pillar of the banking union - the single resolution mechanism (SRM) for failing banks - which is to undergo final approval by the European Parliament at its las ...
Mario Draghi, Pier Carlo Padoan | © Council of the EUMario Draghi, Pier Carlo Padoan | © Council of the EU

Wolfgang Schäuble: European Parliament's Peremptory Tone Is Unacceptable

"The Clock is ticking", wrote on March 10th Corien Wortmann-Kool, a member of the European Parliament from the EPP (The Netherlands) on Twitter on the occasion of the then upcoming new round of negotiations in the trilogue among the European Commission, the Parliament and the Council on the seco ...
Michel Barnier | © European ParliamentMichel Barnier | © European Parliament

EP: The Resolution Mechanism Must Be Agreed by the End of the Parliament's Term

The February plenary session ended with a new clash between the Council and the Europarliament this week because, again, an agreement has not been reached in the trialogue on the second pillar of the banking union - the single resolution mechanism (SRM). The MEPs expected a significant movement ...
 | © Council of the EU | © Council of the EU

Complex, More Complex, SRM

If you think the European Union is a piece of cake and that it is not a sufficiently complex organism try the banking union. Or more precisely its second pillar which is the single resolution mechanism (SRM) for wounding up of ailing banks and which the EU finance ministers have finally reached ...
Elisa Ferreira | © European ParliamentElisa Ferreira | © European Parliament

The Bank Resolution Mechanism Will Neither Be Good Nor Bad. It Will Be Timely

One thing is certain at this stage - the second leg of the banking union - the resolution mechanism for ailing banks will be built on time. It will probably neither be good nor pretty bad, but it will be very complex. With such expectations began the extraordinary meeting of the EU finance minis ...
Michel Barnier | © Council of the EUMichel Barnier | © Council of the EU

Will the Second Leg of the Banking Union Be Limping?

The current dilemma in the European Union is how to make an omelette without breaking the eggs. It is already turning into a tradition for difficult tasks to seek an intergovernmental solution. This is what happened with the fiscal compact. With the second pillar of the banking union a much ...
Warsaw | © euinsideWarsaw | © euinside

Marketing Mistakes Were Made by Bulgaria and Poland in the Treatment of the Eurozone

There's predominantly negative discourse about the euro area. Constantly debated are the problems of Cyprus, Greece, Spain and Portugal. There is talk about all those unfavourable developments. But there is no talk that if Bulgaria and Poland were part of the area of single European currency the ...
Anders Borg, Wolfgang Schauble | © Council of the EUAnders Borg, Wolfgang Schauble | © Council of the EU

SRM Is Stuck Between Desire and Possibility

Everyone in the EU agree that an agreement on the second pillar of the banking union must be achieved by the end of the year, but they are aware of the many uncertainties the clarification of which is, on the one hand, dependent on the coalition negotiations in Germany and, on the other, on find ...
Joerg Asmussen | © Lithuanian PresidencyJoerg Asmussen | © Lithuanian Presidency

European Parliament Got Huge Powers with the Supervisory Mechanism

It took precisely a year to make the biggest integrational step since the introduction of the euro - the single supervisory mechanism (SSM) for banks to be approved after a vote in the European Parliament during its September plenary session, thanks to the historical inter-institutional agreemen ...
 | © euinside | © euinside

A Banking Union Backwards

Every now and then you will hear politicians, economists and central bankers that there is nothing more important for the survival of the eurozone than the establishment of a banking union. Nonetheless, progress in its construction is very slow and hesitant. According to Thomas Mayer, senior adv ...