World
Explained: Why the EU’s banking union is still unfinished business

Monetary markets can not seem to shake off the jitters sparked by the spectacular collapse of Silicon Valley Financial institution (SVB), the most important American financial institution to fall since 2008, and the government-brokered takeover of Credit score Suisse, Switzerland’s second-largest lender.
Regardless of repeated assurances from policymakers, shares of European banks proceed to be hit by the continued turmoil, with shares taking place once more after having seemingly recovered.
Deutsche Financial institution, Commerzbank, Société Générale and BNP Paribas are amongst those that have seen their worth take a plunge in latest days, including to the state of basic disquiet.
Inevitably, the most recent information has make clear an uncomfortable query that has for years beset the eurozone: Why is the banking union nonetheless unfinished enterprise?
The banking union dates again to 2012, a time when the eurozone was going via a devastating debt disaster that challenged the survival of the one forex itself.
“We affirm that it’s crucial to interrupt the vicious circle between banks and sovereigns,” EU leaders stated in a joint assertion signed on 29 June 2012.
Eurozone banks have been thought-about to have excessively shut hyperlinks with their house nations as a result of they have been principally shopping for bonds from their very own governments, reasonably than diversifying throughout the bloc.
This concentrated publicity to sovereign debt was compounded by the truth that retail deposits have been protected initially by home laws.
This co-dependence meant that as quickly as banks have been in misery, the issues might simply spill over into the nationwide authorities – and vice-versa.
The banking union was designed to weaken this bank-sovereign connection and inject a recent European dimension by harmonising guidelines, decreasing fragmentation and making certain taxpayers’ cash was not additional used to rescue failing banks.
The political impetus led to the undertaking’s first two pillars – the Single Supervisory Mechanism (SSM) and the Single Decision Mechanism (SRM) – to be agreed upon comparatively quick.
The SSM granted the European Central Financial institution stronger powers to observe the well being of eurozone banks, whereas the SRM arrange a typical fund – paid by banks themselves – to deal with bancrupt establishments.
However the brand-new construction was left limping, because the third and final pillar remained conspicuously lacking: the European Deposit Insurance coverage Scheme.
A persistent stalemate
Underneath present EU guidelines, deposits of as much as €100,000 are protected in case of a financial institution failure.
This safety, nevertheless, is supplied at a strictly nationwide stage, reinforcing the bank-sovereign cycle.
In 2015, the European Fee proposed the creation of the European Deposit Insurance coverage Scheme (EDIS) with a purpose to assure all deposits throughout the eurozone loved an equal stage of safety, whatever the financial institution’s location and the nation’s fiscal well being.
EDIS would introduce a collective, supranational security internet constructed upon home provisions and paid for by banks in line with their stage of danger.
In follow, this EU-wide safety layer would dissuade purchasers from desperately withdrawing their deposits as quickly as dangerous information hit a financial institution, as was the case with Silicon Valley Financial institution.
However the sharing of banking dangers throughout borders was rejected by Northern European nations, who argued the eurozone’s monetary well being wanted appreciable enhancements earlier than establishing EDIS.
“An settlement on a typical deposit insurance coverage was hampered by the weak state of the banks in some peripheral nations, with Germany fearing that it must pay for Italian banks,” stated Daniel Gros, a senior fellow on the Centre for European Coverage Research (CEPS).
“The current turmoil shouldn’t be brought on by the absence of a 3rd pillar, however by the truth that deposits have turn into rather more unstable than anticipated by regulators (and markets).”
Nicolas Véron, a senior fellow at Bruegel, believes the opposition runs a lot deeper and relies on an intrinsic contradiction: whereas nations “pay lip service” to European ambitions, they’re eager to retain nationwide management.
“In a manner, governments are of two minds,” Véron instructed Euronews.
“On the one hand, they perceive that finishing the banking union is critical for the eurozone to be resilient, they usually need the eurozone to be resilient sincerely. However on the similar time, there are such a lot of facets of the linkages they’ve with nationwide banking sectors that they like and do not need to eliminate.”
The persistent stalemate has raised doubts over the 2015 proposal, which technically stays on the desk regardless of quite a few rounds of unsuccessful negotiations.
“We nonetheless suppose EDIS is a good suggestion. However because it’s with the co-legislators now, it is a part of the traditional decision-making course of,” a European Fee stated.
As an intermediate step, the EU’s government is engaged on a “widespread framework for financial institution disaster administration and nationwide deposit assure,” in step with the conclusions of a 2022 euro summit.
However that framework is about to fall in need of a fully-fledged European scheme, consolidating the lacking pillar because the elephant within the room.
In response to the most recent monetary jitters, some EU leaders, similar to French President Emmanuel Macron and Dutch Prime Minister Mark Rutte, known as for the completion of the banking union however with out providing a transparent reply on how you can break the deadlock.
In an announcement to Euronews, the German Federal Ministry of Finance stated “a number of preconditions should be fulfilled” earlier than resuming talks on EDIS, similar to an additional discount of banking dangers, a stronger disaster administration framework and measures to restrict the sovereign-bank nexus.
“It is nonetheless considerably untimely to attract conclusions from present circumstances on future regulation. We’ll want extra detailed evaluation,” a spokesperson from the ministry stated.
For Véron, who has intently adopted the talk across the banking union since 2012, the current dialog lacks the momentum that solely a full-scale disaster can create.
“This type of factor solely makes progress when there is a large disaster. And sorry if what I say sounds too cynical, however I believe at this level there is not an enormous banking disaster within the eurozone,” Véron stated.
“That is nice information as a result of it suggests the European Central Financial institution has been doing a good job as a supervisor. Perhaps we’ll uncover tomorrow morning that some eurozone banks have large issues. However at this level, it hasn’t been the case, even with what’s occurred within the market.”

World
Scarlett Johansson Was Offered ‘Sex Object’ Roles ‘For Years’ After ‘Lost in Translation,’ Says Bill Murray Was in a ‘Hard Place’ on Set: ‘Life Has Humbled Him’ Now

Scarlett Johansson remembered in an interview with Vanity Fair her career getting pigeonholed by “sex object” roles after the breakout success of Sofia Coppola’s 2003’s “Lost in Translation,” which cast a 17-year-old Johansson opposite Bill Murray.
“After ‘Lost in Translation,’ every role that I was offered for years was ‘the girlfriend,’ ‘the other woman,’ a sex object — I couldn’t get out of the cycle,” Johansson said. “It sort of felt like, ‘Oh, I guess this is my identity now as an actor.’ There wasn’t much I could do with that.”
Johansson added that her representatives at the time did not help her try to avoid these roles, although “they were reacting to the norm. The industry worked like that forever.”
“You come into your sexuality and your desirability as part of your growth, and it’s exciting to blossom into yourself,” she continued. “You’re wearing the clothes you want, you’re expressing yourself, then you suddenly turn around and you’re like, ‘Wait, I feel like I’m being’ — I don’t want to say exploited because it’s such a severe word. That term is so heavy, but yeah, it was a kind of an exploitation.”
“Lost in Translation” stars Murray as a fading movie star in Tokyo who befriends Johansson’s college graduate amid a midlife crisis. Johansson would not go into specifics but did say “Bill was in a hard place” during the film’s production, adding: “Everybody was on tenterhooks around him, including our director and the full crew, because he was dealing with his… stuff.”
Johansson said she never had worked with an actor in Murray’s “headspace” before. The two performers ran into each other earlier this year behind the scenes of “SNL50,” where Murray was in a much more spirited mood.
“He’s such a different person now. I think life has humbled him,” Johansson said, confirming she was partly referring to his behavior on the set of the 2022 movie “Being Mortal” that resulted in the project being shut down. Murray said earlier this year that he gave a woman on set a kiss through a mask, although he maintained he was just being silly.
“Certainly, yes — that was really bad,” Johansson said. “But I also know COVID was a hard thing for him. Life — all these things have led up to him being held accountable for that kind of behavior. But you know what? How wonderful that people can change.”
Speaking of her experience on “Lost in Translation” at large, Johansson added: “I’m pretty proud of how I handled myself. I really just did the work, you know? It’s a good tactic for pushing through stuff. Eyes on the prize.”
Head over to Vanity Fair’s website to read Johansson’s cover story in its entirety.
World
Trump makes historic UAE visit as first US president in nearly 30 years

President Donald Trump on Thursday will soon land in the United Arab Emirates for his final stop in the Middle East this week in a visit that marked the first time a U.S. president has traveled to the nation in nearly 30 years, following President George W. Bush’s trip in 2008.
Trump, who has secured major business deals first in Saudi Arabia and then Qatar, is expected to announce more agreements with what has long been one of the U.S.’ chief trading partners in the region — though given recently announced trillion-dollar deals, it is unclear what more the Emiratis will agree to.
In March, the UAE pledged a $1.4 trillion investment in the U.S. economy over the next decade through AI infrastructure, semiconductor, energy and American manufacturing initiatives, including a plan to nearly double U.S. aluminum production by investing in a new smelter for the first time in 35 years.
President Donald Trump waves as he boards Air Force One to depart Al Udeid Air Base on his way to the UAE on Thursday, May 15, 2025, in Doha, Qatar. (AP Photo/Alex Brandon)
TRUMP SIGNS AGREEMENTS WITH QATAR ON DEFENSE AND BOEING PURCHASES
On the eve of the president’s visit to the Middle Eastern nation, the State Department also announced a $1.4 billion sale of CH-47 F Chinook helicopters and F-16 fighter jet parts to Abu Dhabi.
However, lawmakers on Wednesday suggested they may block this sale amid concerns over direct personal business ties, as Trump’s crypto venture has also received a $2 billion investment by a UAE-backed investment firm.
“If I was a betting person, I’d bet that the Emiratis almost certainly kept some things in reserve for President Trump’s actual visit that can be announced when he’s on the ground in Abu Dhabi,” John Hannah, former national security advisor to Dick Cheney and current Randi & Charles Wax senior fellow at the Jewish Institute for National Security of America (JINSA), told Fox News Digital. “I wouldn’t be at all surprised if we see some new items unveiled or some additional details put out on some of the earlier announcements.”
“The UAE has clearly staked its future on being the Middle East leader in a wide range of 21st-century technologies, from AI to chips to space,” he added. “And of course, the shopping list for high-end weapons is almost limitless and always a possible deliverable for a trip like this.”
Increased scrutiny arose around Trump’s Middle East tour as engagement with all three nations holds personal value to him, given the Trump Organization’s luxury resorts, hotels, golf courses, real estate projects and crypto investment schemes in the region.

An infographic titled “Trump’s high-stakes Gulf tour,” created in Ankara, Turkey, on Tuesday. (Yasin Demirci/Anadolu via Getty Images)
TRUMP CONTINUES TO DEFEND QATAR GIFTING US $400M JET: ‘WE SHOULD HAVE THE MOST IMPRESSIVE PLANE’
But all three nations also hold significant value to Washington, as they have become key players in some of the toughest geopolitical issues facing the U.S. and its allies.
Saudi Arabia and Qatar have been integral in facilitating U.S. negotiations when it comes to ending Russia’s war in Ukraine and hostage negotiations in the Gaza Strip.
While neither of these issues appeared to be top points of discussion in Trump’s visit to Saudi Arabia or Qatar, he may hit on geopolitical ties more heavily when it comes to the UAE, particularly given that Abu Dhabi is one of the few Middle Eastern nations that holds normalized diplomatic ties with Israel.
The UAE has ardently opposed Israel’s military operations in the Gaza Strip, has called for a two-state solution, and has rejected Trump’s “riviera plans,” instead favoring an Egypt-reconstruction alternative.

President Donald Trump, center, attends a photo session with Saudi Crown Prince Mohammed bin Salman, United Arab Emirates Crown Prince Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, Qatar’s Emir Sheikh Tamim bin Hamad Al Thani, Kuwait’s Crown Prince Mishal Al-Ahmad Al-Jaber Al-Sabah and Gulf Cooperation Council Secretary-General Jasem Mohamed Albudaiwi during the GCC Summit in Riyadh, Saudi Arabia, on Wednesday. (AP Photo/Alex Brandon)
But Abu Dhabi has also maintained relations with the U.S.’ biggest adversaries, including China, Russia and Iran, which could be a topic of conversation during Trump’s one-day visit.
“As everywhere on this trip, the headlines will likely be dominated by the dollar signs and deal-making,” Hannah said. “But I’m personally most interested in the geopolitical angle of trying to reset the U.S.-Emirati strategic partnership, especially in the context of America’s great power competition with China and to a lesser extent Russia, and regionally with Iran.”

Secretary of State Marco Rubio, left, appears with UAE National Security Advisor Sheikh Tahnoon bin Zayed Al Nahyan at ADNEC Centre Abu Dhabi in Abu Dhabi, United Arab Emirates, on Feb. 19. (Reuters/Evelyn Hockstein/Pool)
Hannah explained that Trump’s visit to the UAE exemplifies a recommitment by the U.S. economically and militarily to support Abu Dhabi’s “stability, security, and success in a dangerous neighborhood” and could “pay real dividends going forward.”
“The UAE’s top leadership has come to believe that putting most of its eggs into the American basket was an increasingly risky bet as one president after another decided that the Middle East was a lost cause — nothing but ‘blood and sand’ as President Trump famously said in his first term — and the country needed to pivot its focus toward Asia,” he continued. “With a country as influential and resource-rich as the UAE, correcting that unhelpful perception and putting the strategic relationship back on a much more positive dynamic is an important goal.”
World
Leak: Commission to launch PFAS clean-ups in water resilience strategy

The European Commission is preparing to support a major clean-up initiative targeting Per- and polyfluoroalkyl substances (PFAS), also known as “forever chemicals” due to their persistence in the environment and human body, according to a leaked proposal seen by Euronews.
The operation, which is expected to start in 2026, is a central feature of the forthcoming EU Water Resilience Strategy.
Controversially shelved by the previous Commission and now slated for presentation by 4 June, the new strategy aims to address increasingly severe flooding, droughts, and escalating water pollution across Europe.
According to a leaked draft of the proposal seen by Euronews, the Commission warns that “urgent action is needed to tackle pollutants of emerging concern which pose a risk to our vital sources of drinking water.”
“The EU must embark on decisive efforts to clean up these and other ubiquitous, persistent, bio-accumulative, and toxic substances, particularly where such chemicals remain indispensable for societal or industrial use,” the draft continues.
The leaked document stresses that remediation should follow the “polluter pays” principle, with public funding reserved for so-called orphan sites, namely locations where no responsible party can be identified.
The estimated cost of cleaning up PFAS contamination across Europe ranges from €5 billion to €100 billion annually, according to the Commission. The water sector alone could face up to €18 billion in additional yearly expenses for drinking water treatment. Costs for wastewater and sewage sludge management are projected to be even higher.
Among the planned initiatives is a public-private partnership launching in 2026, focused on the detection and clean-up of PFAS and other persistent chemicals. The initiative will align with recently revised EU legislation on industrial emissions, drinking water, and wastewater, and is intended to foster innovation and market development within the European water sector.
“Innovation and digitalisation are indispensable to remove emerging pollutants like PFAS and other toxic micro-substances,” the Commission notes in the draft adding that bio-based technologies could offer long-term solutions. The document also highlights the importance of achieving energy neutrality in the wastewater sector and improving integrated urban water management.
The PFAS actions in the strategy are intended to complement ongoing efforts under the revision of the EU’s REACH framework, as outlined in President von der Leyen’s 2024–2029 political guidelines, which are also slated for revision soon.
By the end of 2025, the Commission aims to adopt a comprehensive restriction on all PFAS in firefighting foams, identified as one of the primary sources of PFAS emissions.
PFAS and other highly persistent pollutants continue to accumulate in EU waters, with estimated health-related costs ranging from €52 billion to €84 billion annually.
Aligned with the Zero Pollution Action Plan, the Commission also proposes a monitoring and outlook system to tackle water and marine pollution at its source.
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