Merkel Coalition Backs Resolution Urging Split of ECB Duties
- Lawmakers see `conflict of interest' in ECB's dual role
- Schaeuble says limited EU rule change may suffice for split
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German Chancellor Angela Merkel’s coalition backed a resolution calling for a complete separation of the European Central Bank’s supervision of financial institutions from its monetary policy role.
The lower house of parliament on Thursday voted in favor of the motion, which also urges the government to ensure that small, lower-risk institutions such as cooperative and savings banks aren’t overburdened by regulatory requirements. The legally non-binding proposal is the outcome of a review of the establishment of European supervisory bodies for banks, insurers and securities trading made in response to the global financial crisis.