But what remains true is that governing these very vast and equally diverse economies with a single currency is more of a challenge in a union of sovereign states than in a political federation. That is the reason why the European Central Bank is stressing tirelessly the necessity of strongly reinforcing the euro area economic governance.
This causes unfair competition, induces arbitrage and creates complexity. However, just as with resolution frameworks, it is a political reality that some reforms, however desirable they may be, can only be passed at the national level. 4  BIS central bankers’ speeches  Concluding remarks Looking beyond the current reforms, there will be major changes to the financial system, some intended and others unintended.