Minimising moral hazard is a necessary condition of confidence and mutual aid among group members, implying participation rules and compliance-monitoring mechanisms and institutions. In order to overcome the crisis that has been undermining the European project, the sense of urgency, diagnosis and the convergence of willingness are not enough.
The SSM will have a carefully calibrated governance structure, involving a Supervisory Board that interacts with the ECB Governing Council. At the bottom of the system will be the various national supervisors each feeding up dozens if not hundreds of issues and matters for decision and action, with this volume surging in times of stress.