The Interrelationship of Sovereign Debt and Distressed Banks: A European Perspective

First Consequence... [...]Consequence... In order to finally come to a regulatory framework of what the present author calls a resolvency regime (i.e., a legal framework for sovereign-debt restructuring) and what would provide for the supervision of the sovereign-restructuring process through a neutral instance, it is indispensable to cut back step by step the existing privileges which are conferred on the credit institutions.