Exploring governance of the new European Banking AuthorityâA case for harmonization?
In the context of the proposed EU financial supervisory reforms, this paper focuses on the governance of the network of national supervisory banking agencies and the newly established Community supervisor (European Banking Authority, EBA). We assess to what extent lack of governance convergence nationally and with EBA could undermine the incentives for cooperation among supervisors. Convergence should particularly focus on (i) the issue of the presence of politicians on decision-making bodies; (ii) the need for clearly defining dismissal procedures of heads of supervision; (iii) autonomy from government in regulatory matters; (iv) supervisory autonomy in matters of licensing and withdrawing licenses; (iv) mechanisms for judicial accountability; (v) legal protection for supervisors handling in good faith. In the absence of full centralization of prudential supervision, early harmonization of national governance arrangements towards best practice would better align supervisors' incentive structures and, hence, be beneficial for the effectiveness of European supervision.
Year of publication: |
2011
|
---|---|
Authors: | Masciandaro, Donato ; Nieto, Maria J. ; Quintyn, Marc |
Published in: |
Journal of Financial Stability. - Elsevier, ISSN 1572-3089. - Vol. 7.2011, 4, p. 204-214
|
Publisher: |
Elsevier |
Keywords: | Financial supervision EU integration Supervisory architectures and governance |
Saved in:
Online Resource
Saved in favorites
Similar items by person
-
Masciandaro, Donato,
-
Helping Hand or Grabbing Hand? : Supervisory Architecture, Financial Structure and Market View
Quintyn, Marc, (2008)
-
Quintyn, Marc, (2009)
- More ...