Back
20 Jun 2013
Flash: Banking Union back on the EZ agenda - DBS Group
FXstreet.com (Barcelona) - DBS Group analysts note that in the Eurozone, the key message from the G8 leaders this week was to expedite efforts to form the banking union.
They note that while talks of establishing a centralised banking backstop hit its peak during the sovereign crisis, the momentum has since floundered as the currency-area gained an upper hand on the financial crisis. They write, “The main bug bear in the game-plan is the difference in opinions between the central bank and the national governments on the level of commitment required from the concerned parties and loss of sovereignty, by extension.”
They note that while talks of establishing a centralised banking backstop hit its peak during the sovereign crisis, the momentum has since floundered as the currency-area gained an upper hand on the financial crisis. They write, “The main bug bear in the game-plan is the difference in opinions between the central bank and the national governments on the level of commitment required from the concerned parties and loss of sovereignty, by extension.”