(VOVworld) – A banking reform to avoid a repeat of the crisis and bailouts was unveiled Wednesday by the European Commission, in order to stop big European banks trading on their own account and force them to hive off some of their riskiest activities.

EU Financial Services Commissioner Michel Barnier. Photo: internet

The reform also aims to give regulators the power to separate banks' riskier trading activities from their deposit-taking business, if such activities threaten the financial stability. The EU also adopted additional measures in order to increase transparency in specific operations of the banking sector, completing the large reforms undertaken to strengthen the European Union's financial sector. EU Financial Services commissioner Michel Barnier said the proposals were "the final cogs in the wheel" to complete the regulatory overhaul of the European banking system.