The German Banking Industry Committee is not willing to use the customer deposit protection funds accumulated over many years for the recently proposed purpose of guaranteeing deposits in other countries, nor is it willing to assume any liability for foreign deposit guarantee schemes in the form of a reinsurance system. Particularly as some major EU countries have not yet set aside any funds. Deposit protection must not become an area of the European financial architecture that is in constant need of repair. The EU directive on deposit guarantee schemes should first be implemented in all member states. This is now a priority as, to date, many deposit protection schemes in Europe have yet to implement the amended EU directive. The amendment stipulates ex-ante funding of deposit protection schemes – for the first time for many countries. The accumulation phase lasts until 2024 and the first stress tests on the systems will take place in 2017. The DK is calling for the existing directives to be implemented in full and enforced. We do not believe a further European deposit guarantee fund is needed.
Over the summer, the presidents of the European Commission, the ECB, the European Parliament, the Council and the Eurogroup proposed plans for the long-term future of the economic and currency union, which included a call for the mutualisation of deposit guarantee schemes in Europe. EU Commission president Jean-Claude Juncker and Donald Tusk, the President of the European Council, have recently spoken about this idea again and have encouraged further action.