The Lamfalussy Process and EU Bank Regulation: Another Step on the Road to Pan-European Bank Regulation?

Annual Review of Banking & Finance Law, Vol. 25, p. 389, 2006

54 Pages Posted: 12 Feb 2009 Last revised: 16 Feb 2009

See all articles by Duncan Alford

Duncan Alford

University of South Carolina School of Law; University of South Carolina - Coleman Karesh Law Library

Date Written: April 1, 2006

Abstract

This article focuses on the Lamfalussy process's accelerated method of lawmaking in financial services within the European Union. The first section of this article provides background information on the economic importance of the banking industry in a nation's economy, and the resulting hesitancy of nations to cooperate in international bank regulation. The second section describes and analyzes the Lamfalussy process. The third section analyzes recent assessments of this new legislative process and discusses implementation issues that have arisen during its short life. Finally, I argue that the Lamfalussy process is merely another step in the trend of greater financial integration and regulatory convergence within the European Union. The next step in the integration of financial services markets in the EU may be the creation of a dual banking system similar to that of the United States, where national banks and state-chartered banks operate under two separate, but related, bodies of law. While not an ideal solution, a Europeanized dual banking system is a likely next step in light of the failed ratification of the Constitutional Treaty and the resulting hesitancy and inability to create new European Union wide programs and institutions.

Keywords: banking, European Union, international banking, Lamfalussy process, comitology

Suggested Citation

Alford, Duncan and Alford, Duncan, The Lamfalussy Process and EU Bank Regulation: Another Step on the Road to Pan-European Bank Regulation? (April 1, 2006). Annual Review of Banking & Finance Law, Vol. 25, p. 389, 2006, Available at SSRN: https://ssrn.com/abstract=1341325 or http://dx.doi.org/10.2139/ssrn.1341325

Duncan Alford (Contact Author)

University of South Carolina - Coleman Karesh Law Library ( email )

1525 Senate Street
Columbia, SC 29208
United States

University of South Carolina School of Law ( email )

701 Main Street
Columbia, SC 29208
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
453
Abstract Views
1,890
rank
80,656
PlumX Metrics