8 Third Country Cooperation Mechanisms within the Bank Recovery and Resolution Directive: Will they be Effective? »
Costanza RussoFrom: Bank Resolution: The European Regime
Edited By: Jens-Hinrich Binder, Dalvinder Singh
This chapter argues that cooperation and coordination under the Bank Recovery and Resolution Directive (BRRD) may still be suboptimal as states can still prioritize their national interest. By making a distinction between coordination and cooperation it is also argued that while relevant authorities can, in principle, take a joint decision over the willingness to achieve a common goal, they may still act in an uncoordinated way. This may undermine the effectiveness of international supervisory action and in turn financial stability within, and possibly outside, the EU. The chapter reveals the complex layers of cooperation; its relevant problems; and the extent to which these have been addressed by regulators. It focuses on cooperation and coordination between the EU and third countries with a specific attention to the provisions included in the BRRD.