Christine Lagardepresident of the ECB insists on the issue of stock market integration. In his opinion, Europe must work harder to catch up with the United States and, to do so, must make the financial market system simpler and faster. This could turn Europeans’ savings into a great opportunity to grow the economy. An appeal definitely worth sharing. However, he forgets to remember how much the ECB’s responsibility is for this delay given the burden of rules imposed by the Eurotower on business financing banks. Not to mention that control of the single market would end up increasing the power of the ECB
At the European Banking Congress in Frankfurt, Lagarde he explained that Europe has a large amount of savings, but is not using them enough to invest in important projects. Europeans save a lot – about 13% of their income – but much of this money is stuck in accounts that don’t earn much. In Europe, around €11.5 trillion is in cash and deposits, but if these savings were invested in financial markets, they could make a big difference, leading to economic growth.
The problem is that the capital markets system in Europe is still too divided and does not work as it should. Each country has different rules, and this makes it difficult to work together. To solve this problem, Lagarde proposed new rules. It wants to create a “European Savings Standard”, a tool that helps investors choose simpler, clearer and lower-cost solutions. In this way, Europeans’ savings could be better invested, stimulating the economy and creating more opportunities.
Lagarde He also suggested that to improve the situation, Europe could take a cue from the United States and create a structure similar to the American SEC, which could better coordinate the various countries. With these ideas, Europe could grow faster and become stronger even in the face of global challenges, such as geopolitical tensions.
However, to achieve this change, Europe must overcome a series of obstacles, such as different laws and old interests that are holding back reforms. But, second Lagardeif we manage to take this step, Europe will be able to become stronger and more competitive, increasing everyone’s well-being.
Finally, despite the difficult economic situation, with signs of a slowdown in many European economies, Europe must look forward with confidence and work together to find solutions that can relaunch growth.
