No. 311. The Asset Quality Review and Capital Needs, Why re-capitalise banks with public money?:
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Bibliographic Details
Main Author: Gros, Daniel (Author)
Format: Electronic eBook
Language:English
Published: Brussels [Belgium] CEPS Centre for European Policy Studies 2013
Subjects:
Online Access:BSB01
Item Description:It is generally assumed that any capital needs discovered by the Asset Quality Review the ECB is scheduled to finish by the end of 2014 should be filled by public funding (= fiscal backstop). This assumption is wrong, however. Banks that do not have enough capital should be asked to obtain it from the market; or be restructured using the procedures and rules recently agreed. The Directorate-General for Competition at the European Commission should be particularly vigilant to ensure that no further state aid flows to an already oversized European banking system
Physical Description:1 Online-Ressource (8 Seiten)

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