ECB should become lender of last resort to individual eurozone banks, academics argue
Existing law must be re-interpreted by central bank, lawyers say
The European Central Bank (ECB) should take on the role of lender of last resort (LOLR) to troubled individual banks within the eurozone, two specialists in international financial law argue.
European treaties would not have to be changed to permit this, they argued in papers published by the ECB in December. Earlier versions of the papers were presented at an ECB legal conference in September.
Rosa Lastra, professor of international financial and monetary law at Queen Mary University of London
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