European Central Bank Vice President Vitor Constancio said failure by European Union lawmakers to create a Single Resolution Mechanism would hinder the ECB’s efforts to reduce fragmentation in the banking sector.
Ireland, home to one of the world’s biggest banking implosions, is now the scene of a skirmish between lenders and regulators that offers a warning to the European Central Bank as it conducts its own probe into the region’s balance sheets.
As European Union lawmakers race to create a bank-failure agency so it can take action outside market hours, they’re battling to streamline a German-backed plan that may need the weekend to last four days.
Deutsche Bank AG will pay about 925 million euros ($1.27 billion) to settle a 12-year-old dispute with the heirs of Leo Kirch over the collapse of his media group, according to two people familiar with the matter.
European Central Bank Vice President Vitor Constancio said the fact that euro-area bank balance sheets will be probed before undergoing a simulated economic downtown later this year makes the test harder to pass.