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The Bank participates as an observer in the Supervisory Board of the ECB, which is the body entrusted with the supervision of credit institutions to be undertaken by the ECB under the SSM. The SSM comprises the ECB and the national competent authorities of participating EU countries. The ultimate aim of the SSM is to ensure the safety and soundness of the European banking system, and to increase financial integration and stability in Europe. Under the new system of supervision, the ECB will directly supervise significant credit institutions. It will work closely with the national competent authorities to supervise all other credit institutions under the overall oversight of the ECB. The ECB may decide at any time to take direct responsibility for a less significant credit institution. The Supervisory Board plans and carries out the ECB's supervisory tasks, undertakes preparatory work and proposes complete draft decisions for adoption by the ECB Governing Council.
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