Categories: Economy

Rutte: ‘The European banking system is resilient’ Related articles

While several European banks are hit hard on the stock market, Prime Minister Mark Rutte tries to keep the peace. He calls the European banking system “resilient” and, according to him, supervision is “strong”. According to Rutte, it is therefore very unlikely that the eurozone will end up in a new banking crisis.

Rutte made his statements after the EU summit in Brussels. In their final statement, EU leaders underlined the strength and resilience of the banking system in the European Union and how much better the liquidity positions of banks are: “The banking union has significantly improved the resilience of the banking system”.

To comfort

This conclusion follows a long line of bankers, analysts and economists who tried to reassure everyone earlier this week amid major turmoil in the financial markets. According to Klaas Knot, chairman of De Nederlandsche Bank, there is “no reason for a bank run” in the Netherlands and the current banking crisis will not extend to Dutch banks. Just today, the head of the German central bank stressed that the current banking turmoil cannot be compared with the situation in 2008, when a global financial crisis erupted.

On the other hand, there were also pundits this week warning of some major risks in the banking sector, such as supervisors falling asleep and that banks are getting bigger than ever, and are therefore new “too big to fail”.

While several European banks are hit hard on the stock market, Prime Minister Mark Rutte tries to keep the peace. He calls the European banking system “resilient” and, according to him, supervision is “strong”. According to Rutte, it is therefore very unlikely that the eurozone will end up in a new banking crisis. (ANP/ANP)

Author: BNR web editor
Source: BNR

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