Europe’s bank resolution authority is pushing policymakers to provide more “firepower” to protect depositors and rethink how lenders are wound down after recent failures underscored the need for swift and decisive action in a crisis.
Silicon Valley Bank’s implosion in March prompted the US to invoke emergency powers to guarantee immediate full repayment of all its depositors. Credit Suisse’s shotgun marriage to UBS a week later was eased by the Swiss National Bank’s offer of billions of euros in guaranteed funding to the merged entity.
On Thursday, the SNB called for a review of banking regulations as it warned that existing global rules on capital and liquidity were insufficient. The Bank of England is also reviewing its framework for resolving smaller banks and its deposit insurance scheme in the wake of the crisis.
Contact our communications team
Recent news
The body responsible for managing banks in crisis in Europe is celebrating its 10th anniversary and claims that Popular's 2017 resolution has been...
In last June, Parliament and Council have clinched a political deal that is applicable to all the EU member states, and which can be seen as a step...
A success story Deposit Guarantee Schemes (DGSs) have a proven track record of protecting depositors and enhancing financial stability, and are a...