Sadzius Says EU Bank Resolution Talks Go `Fruitfully'

European Union finance chiefs will tackle the European Commission’s plan to create an authority to stabilize failing banks at a two-day meeting that starts tomorrow, Lithuanian Finance Minister Rimantas Sadzius said.

“The discussions go quite fruitfully,” Sadzius told reporters in Vilnius today. He said talks are coalescing around the plan from EU financial services chief Michel Barnier, which calls for giving the commission new powers to close banks and creating a 55 billion-euro ($73 billion) fund to cover the costs of restructuring or shutting down troubled lenders.

Finance ministers gather in Vilnius to stake out positions on Barnier’s plan, introduced in July. Lithuania, which holds the 28-nation bloc’s rotating presidency, hopes to reach agreement among nations by December so that talks can proceed with the European Parliament in early 2014.

Joint resolution is the second element of an EU banking union plan that will put the European Central Bank in charge of bank supervision throughout the euro zone. The European Parliament’s vote today to give final approval to ECB oversight is “really a significant step,” Sadzius said.

Sadzius also said Lithuania still aims to join the single-currency zone in 2015.

“We really are keen to become a member of the euro club,” Sadzius said.

Before it's here, it's on the Bloomberg Terminal.