The effects of the 2007 financial crisis and the sovereign debt crisis of 2010 brought as a consequence the need to increase the soundness of the European banking sector , to reduce the interdependence between the banking sector and the sovereign and to eliminate the discrepancies in the banking supervision criteria in member states.

This context would eventually result in the creation of the Banking Union, based on three pillars: the Single Supervisory Mechanism , the Single Resolution Mechanism and the Deposit Guarantee Scheme.

Learn about the architecture of this new supervisory framework and resolution for European banks here.