Mixed views are being held with regard to the decision of bestowing unequivocal powers to the European Central Bank that will soon supervise Europe’s biggest banks like BNP Paribas S.A., Deutsche Bank Group, Santander and UniCredit S.p.A.
Jens Weidmann, Head of Germany's Bundesbank, states that the decision could lead to conflict of interests. Mario Draghi, President of ECB, acknowledges the risk, but says that they will work towards keeping new tasks in the supervisory area rigorously separate from monetary policy tasks, avoiding any contamination between the two areas. While, many policymakers have raised concerns and are worried, Europe’s banks are welcoming the decision hoping that the centralized power will create a simpler and more level playing field in the region.