Eva Srejber: Sweden and European integration Speech by Ms Eva Srejber, Deputy Governor of Sveriges Riksbank, at the IBC Euroforum: Nordic Banking, Stockholm, 3 June 2002. *  *  *  Let me begin at once by stating the limits I intend to set for this subject in my speech: I intend to focus on financial integration within the EU and to discuss how companies and individuals can benefit from the advantages created by integration in this field. My starting point is, thus, that greater integration in the financial area mainly brings advantages, but there is cause to seek to analyse the forces behind such a development. As different public rules and regulations play an important role for developments in the financial sector, there is also reason to discuss a number of questions of a policy nature that are already on the agenda for a strengthened co-operation within the EU. This is largely a matter of achieving a balance between providing scope for product development and efficiency in the production of financial services in Europe, and creating the right conditions for stability and predictability in the financial system. From white paper to financial action plan Ten years ago, 1992, was the final date for realising the common market in the EU on the basis of the programme in the white paper presented by the European Commission in 1985.
The establishment of a Single Resolution Mechanism Let me turn to your second chosen topic, the establishment of a Single Resolution Mechanism. The Single Resolution Mechanism should be centred in a Single Resolution Authority with a European Resolution Fund at its disposal. I welcome the European Council’s December statement that during the course of 2013, the Commission will submit a proposal for such a mechanism for Member States that are participating in the Single Supervisory Mechanism. The ECB shares the European Council’s view on timing for the Single Resolution Mechanism, namely that it will be required once bank supervision is effectively moved to the Single Supervisory Mechanism. We therefore welcome the European Council urging the co-legislators to examine the proposal as a matter of priority with the intention of adopting it during the current parliamentary cycle. There are four main reasons for a Single Resolution Mechanism, with a Single Resolution Authority at its centre. The first reason is that only a Single Resolution Authority will ensure timely and impartial decision-making focused on the European dimension. In a situation where a cross-border resolution is required, the Single Resolution Authority would avoid national focus and pursue the optimal resolution strategy, thus mitigating coordination problems. The second reason is that the Single Resolution Authority would credibly pursue the least cost resolution strategy, assessing possible cross-border spillover effects and systemic concerns, and ensuring that resolution costs are first and foremost borne by the private sector. It would thereby minimise resolution costs without recourse to taxpayer money.