NEW FRAMEWORK OF BANKING SUPERVISION IN THE EUROPEAN UNION
MIROSLAV NEDELCHEV
Abstract
Aim of the article is conducting of analysis of the contemporary framework of banking supervision. The new reality poses a critical review of existing policies on banking supervision. The need for a new framework for the supervision of banking activities is dictated by the expansion abroad and the effects of the global crisis.
Results of the paper show new framework in banking supervision based on coordinated approach since 2008. The taken measures of individual countries regard the activities and assets in their own territory without taking into account spill-over effects on other EU Member States. The coordinated approach to supervision paves the leading role of stakeholders’ interests over shareholders’ interests.
Keywords
banking supervision, bank groups, corporate governance
JEL Codes: E58, G38, G21
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