IDEAS home Printed from
   My bibliography  Save this paper

Designing a Financial Stability Architecture for a Regionally Integrated Financial Space: The European Experience


  • Heinrich, Gregor


Any discussion on improving the existing arrangements for assessing and managing financial risks and in particular supervising the relevant institutions will also need to address the question on which institution should be responsible for which task and for which sector of the financial system, how these institutions should be organized and, if there are several, how they should interact with each other. Based on the example of the European Union, this paper shows the gradual change from a rather loose rather idealistic cooperative framework among entirely independ-ent institutions, over the right to contribute to the functioning of policies set by others, on to the Single Supervisory Mechanism, a centralized structure in which – at least for the banking sector - the ECB takes on a rather powerful role of policy making, oversight and enforcement. (The paper was presented at the conference, “Financial Stability, Interconnectedness, and risk assessment in the Caribbean”, Port of Spain, Trinidad and Tobago, 19-20 March 2015.)

Suggested Citation

  • Heinrich, Gregor, 2015. "Designing a Financial Stability Architecture for a Regionally Integrated Financial Space: The European Experience," MPRA Paper 63225, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:63225

    Download full text from publisher

    File URL:
    File Function: original version
    Download Restriction: no

    References listed on IDEAS

    1. Heinrich, Gregor, 2007. "Central banking in a regional economic setting: Possible contributions to integration," MPRA Paper 47416, University Library of Munich, Germany.
    2. Masahiro Kawai & Peter J. Morgan, 2014. "Regional financial regulation in Asia," Chapters,in: New Global Economic Architecture, chapter 6, pages 112-147 Edward Elgar Publishing.
    3. Piet Clement, 2010. "The term “macroprudential”: origins and evolution," BIS Quarterly Review, Bank for International Settlements, March.
    4. Dirk Schoenmaker & Charles Goodhart, 2006. "Burden Sharing in a Banking Crisis in Europe," FMG Special Papers sp164, Financial Markets Group.
    5. Sumiko Ogawa & Joonkyu Park & Diva Singh & Nita Thacker, 2013. "Financial Interconnectedness and Financial Sector Reforms in the Caribbean," IMF Working Papers 13/175, International Monetary Fund.
    Full references (including those not matched with items on IDEAS)

    More about this item


    financial stability; financial stability architecture; Caribbean; CARICOM; CCMF; European Union; European Central Bank; ECB; SSM; Single Supervisory Mechanism;

    JEL classification:

    • F33 - International Economics - - International Finance - - - International Monetary Arrangements and Institutions
    • F55 - International Economics - - International Relations, National Security, and International Political Economy - - - International Institutional Arrangements
    • G28 - Financial Economics - - Financial Institutions and Services - - - Government Policy and Regulation
    • H12 - Public Economics - - Structure and Scope of Government - - - Crisis Management
    • K23 - Law and Economics - - Regulation and Business Law - - - Regulated Industries and Administrative Law

    NEP fields

    This paper has been announced in the following NEP Reports:


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:63225. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.