ECB can do less when banking union in place - Mersch
LUXEMBOURG, Sept 30
LUXEMBOURG, Sept 30 (Reuters) - The European Central Bank can discontinue some of its non-standard crisis measures when the planned euro zone banking union is functioning effectively, Executive Board member Yves Mersch said on Monday.
The ECB is scheduled to take over supervising the region's banks in about one year's time, and a bank resolution mechanism should follow from the beginning of 2015.
During the financial crisis, it has started providing banks with unlimited amounts of longer-term cash and put in place bond-buying programmes - steps it calls 'non-standard measures'.
"For the ECB, an integrated banking space eases monetary policy transmission and the effectiveness of monetary policy," Mersch said in the text of a speech to be given at an event organised by Bridge Forum Dialogue.
"A successful European banking union will also relieve the ECB of some of the tasks undertaken during the crisis and the need for non-standard measures." (Reporting by Michele Sinner, writing by Sakari Suoninen, editing by Paul Carrel)