We have thereby achieved a twofold objective, namely a larger role played by Europe in national policies, as well as an internalisation of EMU constraints in the domestic frameworks. •  The reform of EU governance also aims to prevent future banking crises and break the bank-sovereign nexus.
The establishment of the single supervisory mechanism and the adoption of bail-in rules in the Bank Recovery and Resolution Directive mark significant progress towards preventing excessive risk-taking and making sure that the taxpayer is last in line to recapitalise banks. But we also need to have robust resolution arrangements at the European level.