Guest commentary: Europe's banks need simpler rules, not laxer ones
Stable banks strengthen Europe's competitiveness. They need risk-appropriate rules and less unnecessary red tape, say Denis Beau and Michael Theurer from the ECB's supervisory board.
The European Union's international competitiveness is no longer just about economic growth, but also about sovereignty, amid geopolitical tensions. To finance its strategic priorities, such as transitioning to a climate-friendly economy, digitalization, and defense, Europe needs to mobilize its substantial savings. The EU's financial system must become more independent, as its current bond, stock, and venture capital markets are smaller than those in the United States.
Developing a Savings and Investment Union is seen as a way for Europe to improve its financial system. The EU banking sector has also been impacted by the debate on improving competitiveness.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
