Bulgaria’s central bank has begun talks with the European Banking Authority about conducting a review of the quality of its banking supervision, it said on Tuesday, following runs on two lenders in June.
The Bulgarian National Bank has also been in touch with the European Central Bank (ECB) about joining the European Single Supervisory Mechanism (SSM), it said in a statement.
Bulgaria would be the first country outside the 18-nation euro zone to join the Single Supervisory Mechanism, set up in response to the global financial and euro zone debt crises as the government grapples with the country’s worst financial crisis in over twenty years.
