Currently financial conglomerates are allowed to maintain a number of
deposit-taking financial institutions within their financial group – reflecting the
artificial regulatory distinction between commercial banks, finance companies, and
credit foncier companies. To reduce this unnecessary duplication, the new commercial
bank licensing regime will remove cumbersome distinction in the scope of business,
making it redundant to have different types of financial institutions within the same
group. Indeed, to reap full benefits from economy of scale there need to be only one
type of deposit-taking institution in a financial conglomerate.