BERLIN (MNI) – The European Commission is assessing the impact of
the liquidity supplied by the European Central Bank on the shadow
banking system, the financial services commissioner Michel Barnier said
in a newspaper interview published Monday.
“This is an important question,” Barnier told German business daily
Handelsblatt. “The EU banking supervision will examine this.”
However, it is still too early to tell what impact the recent ECB
tenders could have on the shadow banking system, he said. The commission
plans to develop regulations for so called shadow banking, which are
financial institutions that are not regulated banks.
–Berlin bureau: +49-30-22 62 05 80; email: twidder@marketnews.com
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