ECB Counters Germany on Supervisor’s Oversight of European Banks

European Central Bank Vice President Vitor Constancio said a common bank supervisor under its control would need power over all euro-area institutions, countering Germany’s push to limit central oversight to systemically important firms.

The ECB must be able to assert control over all banks in participating countries, even if the system is set up “in a very decentralized way,” Constancio told EU finance chiefs in Brussels today. Speaking to reporters, German Finance Minister Wolfgang Schaeuble advocated the curbs on its authority.