About resolution

With the aim of resolving notable problems generated by failing institution, a system has been set up that enable Member States' resolution authorities to use tolls that, by expeditious intervention in the institution, secures continuity of the critical functions of the institution, along with restraining the impact of the institution’s failure on economic and financial system of the state in which the institution is seated as well as on other related Member States.

Resolution objectives are:

  1. Preserving continuity of critical functions
  2. Avoiding significant adverse effect on the financial system, in particular by preventing contagion, including to market infrastructures, and by maintaining market discipline
  3. Protecting public funds by minimising reliance on extraordinary public financial support
  4. Protecting depositor's covered deposits and investors covered by investor protection scheme
  5. Protecting client funds and assets