Nedzhmi Ali on the draft opinion to ECON regarding the Regulation establishing European Supervisory Authorities and Regulation on Financial markets


Thank you, Mr. President, Dear colleagues,

Thank you Mr. Geier for preparing the draft opinion on the Commission proposal of amending a number of Regulations on the three agencies and the financial markets.

In the aftermath of the recent financial crisis we are even more convinced that maintaining financial stability within the Union while proceeding further with the financial integration and market integrity doesn´t have an alternative. In order, this to be implemented effectively, there is a need of common rules and strong supervision. In this regard, the European Supervisory Authorities (ESAs) should play a key role ensuring that the financial markets are well regulated, strong and stable.

Concerning the three agenciesEBA (European Banking Authority), EIOPA (European Insurance and Occupational Pensions Authority) and ESMA (European Securities and Markets Authority) – we agree with the approach of the Commission.  Its proposals aim to provide better opportunity for financial market supervision in several aspects:

- Strengthening and improvement of the ESAs´ existing powers;

- Establishing of more effective governance of the ESAs;

- Providing appropriate funding to the supervisory authorities.

In order agencies to perform fully their new role, they will need a number of additional positions and respective financial resources, presented in details within the Commission´s proposal.

Going to the revenue side of the agencies, we share the opinion of the rapporteur that when financing the supervisory authorities, there is a need to take into account the size of each Member-state´s financial sector. The amount of payment should correspond to the size of the respective financial sector and thus to be more fair. In addition, the fee-financing model definitely should be under enhanced democratic scrutiny.

Share This

Leave a Reply

Your email address will not be published.

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>