Kalousek: Czech Republic wants guarantee on sovereignty if EU bank supervisor created

Speaking in Brussels, the Czech minister of finance, Miroslav Kalousek, said on Tuesday that the Czech Republic would only agree to the creation of a European Union banking supervisory body if the bloc granted extra powers to national regulators. Mr. Kalousek said Prague wanted a commitment that the Czech National Bank would have the final authority in the case that a daughter company of an international bank was transformed into a branch, as branches do not come under national regulators. He pointed out that over 90 of the Czech banking sector was owned by the daughter companies of banks based in the eurozone.

Author: Ian Willoughby