ECB’s Weidmann Says Banking Union Can’t Solve Debt Crisis

European Central Bank Governing Council member Jens Weidmann said a banking union can’t solve the euro-area debt crisis.

“Done correctly, a banking union can be an important building block, even a pillar of a stable monetary union,” Weidmann, who heads Germany’s Bundesbank, said in a speech in Frankfurt today. “But is it also the key to finding a solution to the crisis? No, it’s not, and we shouldn’t overburden it with this expectation.”