In step a towards integration, ECB names first “Single Supervisor”

By Sam Obenhaus

On Wednesday, November 20, the European Central Bank took a major step towards integrating the euro zone’s financial markets when it nominated Danièle Nouy to serve as the first “Single Supervisor” for major banks across the continent. If confirmed by the European Parliament, she will lead one of the world’s most important start-ups.  The Single Supervisor’s office is still in the process of hiring staff and it does not gain the legal authority to start regulating banks until the end of next year.

The task facing Nouy is hugely important for the future of the euro zone.  One of the chief criticisms of the zone is that oversight of its banking system remains balkanized.  The hope is that installation of a Single Supervisor, along with the first set of stress tests that subject the zone’s banks to the same set of standards, will address this persistent criticism.

The New York Times has more on this story.