Publication

This brief discusses the proposals for a European Single Resolution Mechanism (SRM) for banks and for a Directive on Bank Recovery and Resolution (BRR) aimed at harmonizing crisis management and resolution tools in EU member states. The authors find that the proposals are generally well designed, although there is room for improvement, including the streamlining of procedures for the start of resolution and managing the subsequent action. They also make a number of key recommendations to facilitate discussions with stakeholders and regulators.