ΚΡΙΣΗ ΔΗΜΟΣΙΟΥ ΧΡΕΟΥΣ ΚΑΙ ΤΡΑΠΕΖΙΚΟ ΣΥΣΤΗΜΑ ΣΤΗ ΖΩΝΗ ΤΟΥ ΕΥΡΩ

The Sovereign Debt Crisis and the euro area Banking System Phoebus Athanassiou, Adjunct Professor (Lehrbeauftragter), Johann Wolfgang Goethe-Universität Frankfurt am Main ISBN 978-960-622-667-0 Abstract: The recent financial crisis has been a stark reminder of the two-way inter- dependency between sovereigns and their banks. Whilst Europe has taken steps to address the channel of contagion moving from commercial banks to sovereigns, progresswithclosingthereversechannelofcontagionhasbeensparse.Weexamine the European measures taken to mitigate the exposure of sovereigns to commercial bank-generated financial crises, drawing attention to areas where legal improve- ments are desirable or necessary, and explore ways in which the channel of con- tagion moving from sovereigns to commercial banks can be closed, so that future banking crises can be averted. COPYRIGHT All rights reserved. No part of this publication may be reproduced, stored in a re- trievalsystem,ortransmitted, inany formorbyanymeans,withoutthepriorpermis- sion of NOMIKI BIBLIOTHIKI S.A., or as expressly permitted by law or under the terms agreed with the appropriate reprographic rights organisation. Enquiries concern- ing reproduction which may not be covered by the above should be addressed to NOMIKI BIBLIOTHIKI S.A. at the address below. DISCLAIMER The content of this work is intended for information purposes only and should not be treated as legal advice.The publication is necessarily of a general nature; NOMIKI BIBLIOTHIKI S.A. makes no claim as to the comprehensiveness or accuracy of the information provided; Information is not offered for the purpose of providing indi- vidualized legal advice. Professional advice should therefore be sought before any action is undertaken based on this publication. Use of this work does not create an attorney-client or any other relationship between the user and NOMIKI BIBLIOTHIKI S.A. or the legal professionals contributing to this publication. 23 Mavromichali str. | 106 80 | Athens | Greece T +30 210 3678 800 | F +30 210 3678 819 www.nb.org | info@nb.org © 2018, NOMIKI BIBLIOTHIKI S.A.