Germany plans to work with the country’s banks on devising a process for nominating overseers for financial markets regulator BaFin, Finance Minister Wolfgang Schaeuble said today at a conference in Berlin.
“We plan changes in the set-up of the supervisory body of BaFin to strengthen its objective independence, by deploying people with expertise in the sector rather than from associations,” Schaeuble said. “It isn’t about an individual being biased, it is about an unbiased third party worrying that they are biased. We will find a nomination process in close cooperation with the industry.”
BaFin’s supervisory body never saw the need to interfere with regulation and banks don’t want to be BaFin’s “sole financiers” if they are removed from their position as overseers, Uwe Froehlich, president of the Bundesverband der Deutschen Volksbanken und Raiffeisenbanken, said today at the conference.
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