deposit insurance

A heated debate is brewing in Brussels about how best to handle small and medium-sized banks that run into difficulties.

BVR President Marija Kolak and Sparkassen President Ulrich Reuter are concerned about their institutional protection schemes. In a joint interview with Börsen-Zeitung, they appeal to the EU to uphold the principle of subsidiarity.

For a while, it seemed as if the EU Commission and other EU institutions were giving up their efforts to pool the national deposit guarantee schemes – the German government was too adamant in its opposition. But some players in Brussels are now showing great motivation again.