The new rules of the Single Supervisory Mechanism (SSM
) for dealing with non-performing loans will make an effective contribution to further scaling back crisis-era legacy risks, writes Bundesbank Executive Board member Joachim Wuermeling in an op-ed for the Handelsblatt. They are “ambitious, flexible and consistent”. However, the ECB
cannot be expected to lay down generally applicable rules because it has no legislative powers to do so, Mr Wuermeling added.