The Single Resolution Mechanism would have a Single Resolution Authority at its centre that would govern the resolution namely of significant banks, coordinate the application of resolution tools and reflect an organisational set-up similar to the SSM. It should have a comprehensive set of enforceable tools, powers and authority to resolve all banks in the SSM.
And yet it is the final stretch that determines the final result. That’s why we must not falter in our efforts to pursue productivity-enhancing reforms which alone can provide a sound footing for stronger growth. Suffice it to say, correcting misalignments solely at the national level doesn’t go far enough. What we also need are structural reforms at the European level.