MEPs on Monday evening quizzed the three bosses of the EU’s financial watchdogs, primarily on non-performing loans, Wirecard, Brexit and the pandemic effects on the financial sector.
Jose Manuel Campa, Chairman of the European Banking Authority (EBA), Steven Maijoor, Chairman of the European Securities and Markets Authority (ESMA), and Gabriel Bernardino, Chairman of the European Insurance and Occupational Pensions Authority (EIOPA) fielded questions from the MEPs of the economic and monetary affairs committee.
MEPs asked for more details on the EU financial system’s preparedness for Brexit, especially in the case of no-deal, and for dealing with a spike of non-performing loans as a result of the pandemic’s considerable negative effect on the economy. They also sought their interlocutors’ views of how banks and insurers could better help the economic recovery, including by passing on negative interest rates to consumers, and better supporting SMEs.
MEPs were also interested in obtaining more information on when ESMA had first been informed about problems with Wirecard, and when it would be publishing its findings. Mr Maijoor confirmed that ESMA was first informed at the time of short selling restrictions on Wirecard (early 2019), and that his authority would publish its findings by the end of October.
MEPs also asked questions on what should be done to avoid the ever-repeating scandals, the latest of which being the FINCEN files. They also questioned the reasons for the big differences in the development of capital markets among member states, and the role of investors in reaching the long-term climate objectives.
You can watch the meeting again here(starts at 16h47)