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M. Continuo

ECB's Draghi concerned at banks' heavy use of secured funding


    BRUSSELS (Reuters) - The European Central Bank is concerned at a shift in bank financing that has left the region's lenders increasing reliant on secured funding, ECB President Mario Draghi said on Thursday.

    The shift has emerged from an analysis by the recently created super-watchdog, the European Systemic Risk Board (ESRB), Draghi told the European Parliament.

    There are also risks in the shadow banking system that require tailored measures to address, he said.

    Draghi gave his testimony as head of the ESRB.

    (Reporting By Marc Jones and John O'Donnell; Editing by John Stonestreet)