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FXstreet.com (Barcelona) - The Eurozone finance ministers council brought important news for investors as the ¬34.4B aid tranche to Greece was approved and disbursed and the ECB will now have supervisiory oversight powers on over 150-200 Eurozone lenders, expecting it to be operational by 2014 Q1: "The important development of banking union remains when direct recapitalization of banks can take place, which continues to be 2014Q1 at the earliest, though they did agree to an exception that with a unanimous vote, the ECB can take over supervision of any lender and then directly inject capital to that institution", wrote Cristian Maggio, analyst at TD Securities.

"Germany received concessions by setting the threshold for ECB oversight at banks with assets over ¬30bn, which will exclude the Landesbanks, while the UK and Sweden received concessions on voting, so EBA decisions will need majority votes of both Eurozone members and non-Eurozone EU members to take effect", Maggio said, adding that any banking union changes will require both a majority and weighted majority of Eurozone members, to balance the demands of small and large members.
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