There is the “danger” of a European dependence on foreign banks. The CEO of Deutsche Bank, Christian Sewing, sounded the alarm, warning for some time that Europe needs strong banks to counter US and Chinese competitors.
But today his statements take on a sense of greater urgency. “We urgently need to change course if we don’t want to rely primarily on foreign banks to finance Europe’s future,” Sewing told a banking conference. “And no one should take this danger lightly,” Sewing said who he accused European regulators of having a heavy hand. “It is becoming increasingly clear that the current regulatory framework does little to strengthen European banks,” Sewing said. “The issue that worries me is that the pendulum is about to swing too far.” “We should also look at where (regulation) may have gone too far,” he said.