1. What is the new role of the ECB since the crisis?

Supervising the largest banks in participating countries and sanctioning them if they do not
comply with the regulation standards. They ensure a more stable and sustainable financial
environment by recalibrating its monetary policy tools, the balancing of market rates, bond
portfolios and lending operations.

2. What is the Banking Union? Why and what for?

The Banking Union is a crucial component of the European Union’s Economic and Monetary
Union (EMU). The goal of the banking union is to make the financial industry more unified,
transparent, and secure. The 2008 financial crisis and the ensuing sovereign debt crisis
made a Banking Union necessary. It became evident that issues brought on by strong ties
between the banking industry and public sector finances might readily spread over national
borders and lead to financial hardship in other EU nations, particularly in a monetary union
like the euro area.

3. Are all the banks supervised?

Every bank's daily supervision is based on procedures and standards that are designed to
produce uniform and effective supervisory results.
On subjects like the Supervisory Review and Evaluation Process (SREP) and the notification
and application procedures for monitored banks, the European Central Bank (ECB) has the
authority to promulgate its own rules, guidelines, and directives.

4. In banking supervision, What kind of practices are required of banks?

Many practices are required by banks to ensure compliance with regulatory standards:
-Banks must have internal controls that evaluate risk management and governance
structures.
-Banks must have adequate capital to protect depositors and creditors in case of adverse
economic conditions.
-Banks must manage risks to manage long-term sustainability and resilience.
-Banks must manage their asset’s quality and non-performing loans to ensure they remain
resilient.
-Banks must protect themselves from cyber risk, IT infrastructure and data security
breaches.
-Banks are required to maintain high ethical and professional standards.

5. How are supervisory activities implemented?

Ongoing supervisory activities:
Daily supervision includes all interactions with banks as well as ongoing monitoring of their
operations. One of the key components supporting the Supervisory Review and Evaluation
Process (SREP), is based on a shared set of techniques and standards for the ongoing
examination of large banks':
- risks
- governance arrangements
- capital and liquidity positions
To guarantee that the strictest regulatory standards are maintained, the SREP is applied
equitably to institutions that are larger and smaller.
 6. According to the European Commission, what is “resolution”?
According to the European Commission, a bank resolution occurs when authorities
determine that, contrary to normal insolvency proceedings, resolution out of court with the
assistance of an impartial dispute resolution body would better protect financial stability,
depositors and minimise the recourse to public funds (so called public interest assessment).
This process, known as Alternative Dispute Resolution (ADR).

7. What's the mission of the “Single Resolution Board”?

It is a key element of the Banking Union and its Single Resolution Mechanism. Its mission is
to ensure the orderly resolution of failing banks, preserving financial stability and protecting
the taxpayer, with as little impact as possible on the real economy and public finances of the
participating EU countries and others.

8. Elaborate a conceptual map of the Banking Union in the EU