NETHERLANDS - The executive director of De Nederlandsche Bank NV Henk Brouwer has called for financial integration and stability in Europe.
The DNB, which formally completed its merger with the Pension and Insurance Supervisor of the Netherlands (PVK) recently, is now prudential supervisor for Dutch insurance companies, pension funds and banks.
Speaking at the Board meeting of the European Banking Federation in Amsterdam, Brouwer said DNB was actively involved in policy discussions on financial integration in the EU.
“Financial integration should facilitate the provision and purchase of financial services across national borders in the EU,” he said.
“It would increase competition and bring numerous benefits, such as greater liquidity and depth of capital markets, lower borrowing costs and more opportunities for risk-sharing.
“This in turn, would lead to improved availability of capital, more investments and higher productivity. In short, financial integration, via greater efficiency, would lead to a higher rate of economic growth.”
Brouwer said safeguarding financial stability was a core function of central banks but the responsibility should be shared with other authorities.
“Central banks and supervisory authorities, therefore, need to co-operate closely,” he said.
“This is precisely the rationale for the combination of prudential supervision and systemic supervision within DNB.”
This week's edition of Professional Pensions is out now.
Ben Gunnee reflects on 2018 and talks about the Fiduciary Management trends to keep an eye on in 2019
Lloyds Banking Group secured 630,000 new pension customers last year, according to its 2018 annual results.
Guy Opperman has rejected calls to speed up changes to auto-enrolment (AE) despite increasing pressure to boost contribution rates and overall savings pots.