The Union has aimed to develop more integrated and deeper EU capital markets since the launch of the CMU in 2015. AMAFI has supported this initiative from the outset, stressing its importance for the financing of the EU economy. Although some progress has been made in the nine years since the adoption of the first CMU Action Plan and its revamping three years ago, there is still a need for deeper and more competitive capital markets. These should be capable of contributing to the EU’s prosperity by meeting a larger share of its massive financing needs arising from the green transition, the digital revolution, and the ageing of the population. This issue is even more critical given the dramatic change in the geopolitical and economic context, calling for the development of the open strategic autonomy of the EU.
When it comes to financial markets, the priority of the upcoming European Commission should therefore be to actually develop the financial markets of the Union, taking stock of the fact that the harmonisation of legislation that has governed public action since 2015 was an important but insufficient step towards achieving this objective. What is needed is not a new CMU action plan, but rather a fundamental change of approach, as proposed by ECB President Christine Lagarde in her speech to the European Banking Congress in November 2023.
The definition of the upcoming European Commission’s agenda is a unique opportunity to position the EU in the global race for competitiveness as it may be too late already. AMAFI is willing to contribute to this reflection by proposing what it considers to be key priorities to enable financial markets to play their fair share in the prosperity of the Union.
