Regulatory Challenges of Cross-border Banking: Possible Ways Forward
As the integration of fi nancial markets has picked up speed in recent years, the subjects of supervision and crisis management of internationally active banks have gained in importance. Clearly, policy actions are needed to cope with the challenges arising from fi nancial integration. One area in which such action is needed is supervision. To improve crisis preparation within Europe it would be useful to create a special body for supervision of the major cross-border banks. For the sake of this paper let us name this body the European Organisation for Financial Supervision (EOFS).