Each country’s supervisory authorities drive their legitimacy from national parliaments, are subject to national accountability mechanisms, and are financed nationally. Each country’s authority is  2  These features of crises were already present in the case of Continental Illinois (1984), and more recently in the Barings’ crisis (1995) and LTCM collapse (1998).
BIS Review 145/2008  3  responsible for the consolidated supervision of financial institutions domiciled in that country for which it is the home supervisor. Host supervisors are responsible for subsidiaries of institutions from other countries operating in their territories. National authorities are organized differently in the EU, e.g., as a single authority, or according to a sectoral model.