Bafin, Germany's banking regulator, wants the European Central Bank (ECB) to provide more information about the type of debts lenders would qualify for, according to a report by Bloomberg. Bafin's request for more information was reportedly in line with the ECB's plans to make permanent currency-swaps to avoid future financial shocks.
"I hope very much that the ECB will make further announcements by year end. Banks want to prepare and know what the rules of the game will look like," Elke Koenig, president of Bafin, told reporters in Frankfurt, Germany today
The ECB was entrusted by European officials to oversee the European region's financial structure to prevent another economic depression to take place. Banks in the European bloc reportedly remained uninformed about what kind of debt they would qualify for in case another financial shock takes place.
Koenig said at a conference, "I don't expect any giant surprises for Germany from the balance sheet assessment. Banks have prepared, they know the issues and if you're not prepared by now, I can't help you either."
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