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Italy emerges as biggest obstacle to eurozone banking union

In 2012 eurozone leaders vowed to break the “doom loop” by which national governments and their banking systems could drag each other down in a financial crisis. 

This began the long journey towards a banking union in which taxpayers would no longer be on the hook for failing banks.

Had the leaders fully understood what they were signing up for, they may not even have started. 

Rome wants a ‘package deal’ that includes common deposit insurance scheme

Martin Sandbu FT 13 January 2020

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