Public Hearing at the Committee on Economic and Monetary Affairs of the EP in Brussels.&nbsp;Presentation of the 2nd annual report on the single Supervisory mechanism (SSM) by Dani&egrave;le NOUY, Chair of the Supervisory Board of the ECB and statements by Brian HAYES (EPP, IE), Elisa FERREIRA (S&amp;D, PT) and Sylvie GOULARD (ALDE, FR)

Brussels

public hearing

Committee on Economic and Monetary Affairs

European Supervisory Board (T)

financial supervision (T)

HAYES, Brian (EPP, IE)

GOULARD, Sylvie (ALDE, FR)

NOUY, Danièle (FR)

FERREIRA, Elisa (S&D, PT)

Public Hearing with Danièle NOUY, Chair of the Supervisory Board of the ECB: extracts from the Presentation of the 2nd annual report on the single Supervisory mechanism (SSM)

SOUNDBITE (English), Dani&#232;le NOUY, Chair of the Supervisory Board of the ECB, I will present to you the 2015 ECB Annual Report on supervisory activities.

SOUNDBITE (English), Dani&#232;le NOUY, Chair of the Supervisory Board of the ECB, The general performance of banks directly supervised by the ECB has improved in 2015, largely thanks to stabilising macroeconomic conditions and much-needed efforts to repair banks&rsquo; balance sheets hit by the crisis.

SOUNDBITE (English), Brian HAYES (EPP, IE), Should central banks be able to adopt their monetary policy flexible to market conditions?

SOUNDBITE (English), Brian HAYES (EPP, IE), Has your organisation, has the SSM actually completed an assessment of the risks concerning Brexit?

SOUNDBITE (English), Dani&#232;le NOUY, Chair of the Supervisory Board of the ECB, It is very useful to address possible mortgages risk or realistic crisis such as macro prudential measures. It is a decision of the national supervisors that I fully respect. The ECB could top up those measures and could, if it thinks it is needed and nothing has been done, take initiative. But this is an exceptional situation, it is largely in the hands of national supervision of central banks.

SOUNDBITE (English), Dani&#232;le NOUY, Chair of the Supervisory Board of the ECB, Regarding the Brexit, I will never try to predict the outcome of the referendum not to try to quantify the impact of the UK exit, but your question is different it addresses the situation of banks that could join continental Europe.

SOUNDBITE (English), Dani&#232;le NOUY, Chair of the Supervisory Board of the ECB, We will have more significant institutions in the Euro area, we will have more resources, more jobs created in continental Europe but again I will not comment on hypothetical situations.

SOUNDBITE (Portuguese), Elisa FERREIRA (S&amp;D, PT), To what extend is the Single Supervisor aware of the current situation will?

SOUNDBITE (English), Dani&#232;le NOUY, Chair of the Supervisory Board of the ECB, I fully agree that we are in a difficult transitory period. In my view, this is also what explains the turmoil that took place at the beginning of the year on the markets. The adaptation between the all world of the bailout and the new world of bailing the investors, are not fully immediately understanding the situation, and the consequences for themselves.

SOUNDBITE (English), Sylvie GOULARD (ALDE, FR), On the activities of the supervisory authorities, very pragmatically, what you can actually improve in your relationship with the EBA?

SOUNDBITE (English), Dani&#232;le NOUY, Chair of the Supervisory Board of the ECB, Regarding the revision of the SSM supervision that you will undertake, as a matter of fact, EBA and AOP, we have the best possible relationship with both those institutions. I have been a member for so many years ,"je fais partie des meubles", as we said in French. We discuss quite often. Maybe, I have no conflict of interest, but for instance, in order to have a European voice delivered in these institutions it is surprising that the Chair of the ESBR has no voting rights.