On Friday, France suggested that the European Union member states that support the development of Capital Markets, should let their voice be heard by both the officials and the EU-wide public.
The team shall start out on their own to quicken up a task that has lasted for a decade already.
Le Maire, French finance minister, said at EU finance ministers meeting in the Belgian city of Ghent that the CMU was crucial to mobilize the private capital for the investments in AI and for transition to the climate-neutral economy.
France and Germany have estimated that the green and digital reshaping of the European economy would need about 500 billion euros ($541 billion) more of private investment annually for which it will be easier to invest provided the European capital markets are de-fragmented.
It has been hard to move forward due to difficulties of finding a common basis for economies and laws in 27 countries which EU members comprise, as officials maintain.
Le Maire said: “I have been working on this project for more than six years, [and] I came to the conclusion that starting from the 27 member states is a deadlock.”
“We start the Union of capital markets today in Ghent on the voluntary basis. If we have 3-4 countries participating that initiative on the initial stage … this is a good beginning.”
The EU finance ministers were expected to express a statement in the need to increase the pace of work on the CMU, turning it into to one of the priorities for the next executive European Commission which is supposed to be in place by the end of the year.
“That is the statement now, but it isn’t for long.” And this discussion stuff gives me the creeps. I can not stand this nonsense anymore. Would you believe that the real country’s top 2 leading world powers are not going to be affected by our words? “We need some rulings here” or “I am going to inform the ruling party” are the phrases not uncommon to his usage.
The tenets of the Capital Markets Union initiative, that gained traction in 2014, are to ensure that it is stress-free for private capital to be invested from on one country to another within the EU by putting together nationally applicable rules on mechanisms of insolvency, prospectuses, taxation of capital gains, listing requirements, or different treatment of debt and equity, and so on.
