17 Dec 2015

Will the Single Resolution Fund be a ‘baby tiger’ during the transition?

Daniel Gros / Willem Pieter De Groen

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Authors: Daniel Gros and Willem Pieter De Groen

Series: CEPS Commentary  No. of pp: 2

The short answer to this question is no! According to the authors’ calculations, even during its early years, the Single Resolution Fund (SRF) should be sufficient to deal with almost any crisis scenario imaginable. They caution, however, that its funding will be built up only gradually over the coming decade and there is thus a legitimate concern that the SRF will not be sufficient to deal with a major crisis.

Daniel Gros is Director of CEPS. Willem Pieter De Groen is a Research Fellow at CEPS.

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