In a panel discussion in Germany on Monday, the CEOs of Deutsche Bank and JPMorgan told clients that governments have to allow banks to fail, reports Bloomberg.
JPMorgan Chase CEO Jamie Dimon, who recently got his pay cut in half, said that banks have to get rid of the “too big to fail” mentality.
“We have to ensure big banks can be taken down without harming the public and at no cost to them.” Global regulators should also work together to wind down failed multinational banks, he said.
Anshu Jain, co-CEO of Deutsche Bank, the largest bank in Europe, is another proponent of letting banks fail. “There’s still the presumption that we can’t let some global banks go to the wall,” Jain says.