b'4.4. Banking Union and Harmonisation of Banking Regulation The Banking Union is an EU initiative whichBackstop,a mechanism to insure banks essentially aims tofederalise the Europeanin the event that the SRF is insufficient.26banking system, offering a commonThe agreement plans for the Backstop to be system of standards, crisis resolution, andfinished by 2024.27objectives. The Banking Union originated with the 2012 Roadmap towards a BankingOn 17 March 2015, the head of the Single Union produced by the EU Commission.25 Supervisory Mechanism (SSM), a body The Banking Union consists of three pillars:which supervises EU banking and banking a Single Supervisory Mechanism (SSM), ainstitutions, called for greater harmonisation Single Resolution Mechanism (SRM), andof banking regulations, saying [t]o deliver a European Deposit Insurance Scheme.consistent supervision and a level playing Of these three pillars, the SSM has beenfield, we need fully harmonised regulation. established, the SRM has been partially established, and the EDIS has yet to beOn 26 September 2017, the European established.Banking Authority (EBA) published its revised guidelines on internal governance. The Both Chancellor Merkel and Presidentguidelines further harmonise EU banking Macron have expressed the goal of finishingby bringing together internal government the EU Banking Union. At the 19 June 2018arrangements, processes and mechanisms Meseberg Declaration, the two affirmedacross the EU. In April 2018, the SRB their commitmentto completing thestressed that the divergence of national Banking Union. In particular, they advocatedinsolvency laws is a major obstacle towards completing the EDIS and the bankinga fully-fledged Banking Union.192'