January 6, 2009

The European Commission gave a guarded welcome to a top central banker's call at the weekend for radical change to bank supervision, but analysts doubted the idea would fly.

European Central Bank Vice President Lucas Papademos told a German magazine the ECB, together with other central banks in the 16-nation euro zone, could become the supervisory authority for cross-border banking groups such as BNP Paribas (BNPP.PA) and Deutsche Bank (DBKGn.DE).