The EU's leaders agreed today on reforms to financial supervision, following a deal between the UK, France and Germany on two of the main elements. The reforms will include granting new powers to EU committees tasked with overseeing the health of individual financial institutions and the creation of a European Systemic Risk Board (ESRB) responsible for identifying threats to the EU economy as a whole. Angela Merkel, the German chancellor, said the agreement was "a new constitution for the financial market system".The reforms are based on proposals drawn up by a high-level group led by Jacques de Larosière, a former director of the International Monetary Fund, to prevent a repeat of the financial crisis. The European Commission, which convened the de Larosière group, developed the plans further in proposals presented to member states last month.
The EU's leaders agreed today on reforms to financial supervision, following a deal between the UK, France and Germany on two of the main elements.
The reforms will include granting new powers to EU committees tasked with overseeing the health of individual financial institutions and the creation of a European Systemic Risk Board (ESRB) responsible for identifying threats to the EU economy as a whole. Angela Merkel, the German chancellor, said the agreement was "a new constitution for the financial market system".
The reforms are based on proposals drawn up by a high-level group led by Jacques de Larosière, a former director of the International Monetary Fund, to prevent a repeat of the financial crisis. The European Commission, which convened the de Larosière group, developed the plans further in proposals presented to member states last month.
