Money market funds: Council confirms deal with EP

On 7 December 2016, the Permanent Representatives Committee approved, on behalf of the Council, an agreement with the European Parliament on money market funds (MMFs).

The draft regulation is aimed at making these funds more robust, ensuring the smooth operation of the short-term funding market. It sets out to maintain the essential role that money market funds play in financing the real economy.

It follows efforts by the G20 and the Financial Stability Board to strengthen the oversight and regulation of the 'shadow banking' system.

ESO: Background information: Informal agreement on EU money market funds regulation http://www.europeansources.info/record/informal-agreement-on-eu-money-market-funds-regulation/

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