EU finance ministers strike deal on bail-ins
European Union (EU) finance ministers today agreed rules to bail-in the creditors of failed banks, laying the groundwork for a single resolution mechanism (SRM) in the eurozone – the ‘second pillar' of the proposed banking union.
The rules establish a hierarchy of which creditors national authorities should bail-in, and when. Deposits of less than €100,000 will be exempt, while uninsured deposits from individuals or small and medium-sized enterprises will be given "preferential treatment" and
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