Straßburg, 12.03.2008

The EU must pull its act together with financial market supervision

MEPs Alexander Radwan and Piia-Noora Kauppi, respectively Spokesman and Vice-Spokesman for the EPP-ED Group on Economic and Monetary Affairs, call for swift and determined action from the Commission on improving the European Union's financial supervision framework and bringing about more supervisory convergence. Radwan and Kauppi spoke in the European Parliament's plenary session, where the EU's Commissioner for Economic and Monetary Affairs Joaquin Almunia answered an oral question put forward by the Parliament's Economic and Monetary Affairs Committee on the issue.

Kauppi criticised the Commission's reluctance to proceed with reform of the so-called Level 3 committees of national supervisors: "While the committees' advisory role to the Commission is well-fulfilled, carrying out their second function, ensuring that there are closely convergent supervisory requirements in place in the Member States, is currently inadequate", she argued. "Real convergence is needed for the European financial supervision to be efficient. This will not happen without strengthening the committees in terms of their independence and resources", reminded Radwan.


They also pointed out that there is currently an imbalance between the committees' role in bringing about more convergence in European supervision and the purely national accountability of the national supervisors who make up their membership. According to Kauppi, the current mandates of the supervisors do not correspond to the committees' supposedly European mission.


Finally, Radwan highlighted the fact that in the global market place, Europe must lead the way in regulation: "Europe cannot lose time in getting its act together or our partners in the global market place, particularly the US, won't take us seriously. Global convergence through measures like mutual recognition and substituted compliance will never happen unless we can first do our own homework."


Further information:
Alexander Radwan MEP, tel: +33-3-8817-5538
Piia-Noora Kauppi MEP, tel: +33-3-8817-5894
Thomas Bickl, EPP-ED Press Service, tel: +32-478-215372
Antti Timonen, EPP-ED Press Service, tel: +32-474-851831