ECB says central banks should keep oversight role

CENTRAL BANK RESEARCH - The European Central Bank on Mar 22, 2001 said that euro zone central banks should maintain a key role in banking supervision, arguing that their close contacts with commercial banks were crucial for crisis prevention.

The ECB said its Governing Council had reassessed the involvement of central banks in financial supervision in response to the recent plans by some euro area countries to reorganise their supervisory institutions.

In Feb 2001, the ECB criticised the German

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