Single Supervisory Mechanism

The Single Supervisory Mechanism (SSM) is a system established by the European Union to oversee banks in the Eurozone. Its main goal is to ensure the safety and soundness of banks by monitoring their operations and enforcing banking rules. The European Central Bank (ECB) leads the SSM, working with national authorities to assess banks' risks and financial health. This unified approach aims to enhance financial stability, protect depositors, and restore trust in the banking system across member countries, particularly after the financial crises experienced in the past.