The cabinet approved a corresponding bill in berlin on wednesday as a prerequisite for finance minister wolfgang schauble (CDU) to agree to the EU commission's proposal to transfer supervision to the european central bank (ECB).
Unified supervision is part of a banking union. Further saule is a resolution mechanism for bailing out ailing banks. In the future, direct aid from the euro bailout fund ESM for ailing banks will also be possible.
Schauble recently insisted on a quick banking union. He does not want to wait any longer for the changes in the EU treaties on bank liquidation that will be necessary in the medium term.
The ECB's direct supervision focuses on "significant" banks in the participating states. Institutions with a balance sheet total of more than 30 billion euros or more than 20 percent of a country's economic output are generally considered "significant" according to the ministry of finance.
Irrespective of this, the ECB supervises at least the three most important institutions of a participating state. Furthermore, he said, the ECB should directly control the institutions that are directly cut by the euro rescue fund.
French finance minister pierre moscovici recently said that the aim is to make as much progress as possible by the time of the EU summit in june. Schauble spoke of a priority project. According to a report in the "suddeutsche zeitung" (wednesday), there are discussions about entrusting the EU commission or the ESM with bank resolution.
Then there was no need to create a separate resolution authority, which, according to schauble, would require a change in the eu treaties to be established. Rather, the rules and regulations could remain untouched, since the commission and the ESM are already mentioned as european institutions in the treaties. National laws had to be amended.