European Commission President Jose Manuel Barroso has urged all the 27 European Union members to consider a single cross-border supervisor for their banks in order to form a banking union, which could be enacted as early as next year.
In an interview to the Financial Times, which was published on the daily's internet edition late Monday, Barroso said the EU needed to take "a very big step" towards deeper integration if the bloc is to learn the lessons of the sovereign debt crisis.
The plan involves an EU-wide deposit guarantee scheme and a rescue fund paid for by levies on financial institutions. This could be enacted without changes in the bloc's existing treaties, Barroso was quoted as saying during the interview.
Meanwhile, Bundesbank Vice-President Sabine Lautenschlager said a banking union could only work in tandem with a strong and binding fiscal union.
For comments and feedback contact: editorial@rttnews.com
Economic News
What parts of the world are seeing the best (and worst) economic performances lately? Click here to check out our Econ Scorecard and find out! See up-to-the-moment rankings for the best and worst performers in GDP, unemployment rate, inflation and much more.
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.