Small EU countries rebel against financial integration promoted by France

where did it go Capital Markets Association This is a project that was launched 10 years ago, but it is moving very slowly. It aims to eliminate the existing fragmentation across 27 different national markets and facilitate companies’ access to new sources of financing. In recent months this has become a priority for Brussels urgent need for private capital Paying for the digital and ecological transition and the reinforcement of defense.

“every year, 300 billion euros of European savings goes abroad, especially for the United States. This is money that we lack for the development of our companies in the EU and this is due to the fragmentation of our capital markets and financial system,” Commission President Ursula von der Leyen said at the end of the summit.

(EU reopens debate on ‘European champions’: greater integration in energy, telecoms and finance)

“EU companies can raise Additional round of 470,000 million per year “If we complete the Capital Markets Union,” says von der Leyen, “in capital markets financing.”

Key parts missing to complete this project a centralized supervision system (instead of 27 separate laws), the harmonization of bankruptcy and corporate tax laws and the creation of pan-European retail savings and private pension products. For example, France has proposed centralizing supervision European Securities and Markets Authority (ESMA), based in Paris.

However, countries such as Ireland or Luxembourg oppose this reconciliation. Don’t lose your advantages as a financial center,

The Irish Prime Minister said, “We do not want to see any harmonization of our corporate tax laws and we have important questions about the oversight mechanisms that must strike the right balance.” Simon Harris,

Which highlights that the financial services sector employs 60,000 people in its country.

“Of course, as a small country we do not have many competitive advantages and what We have a very competitive tax system, So please don’t take it away from us,” said Estonian Prime Minister Kaja Kallas.

Chairman of the Government, pedro sanchez, complained about the lack of ambition of the findings. ,Spain has always defended tax harmony And, in fact, that is not included,” he pointed out. In addition to private money, Sanchez says the EU needs to finance all its priorities through the European Investment Bank or through new issuance of similar joint public debt. Public financing is needed to fund the next generation.

For his part, Macron has expressed satisfaction with the final outcome of the summit as in his opinion it is the right First step to keep moving forward, “There are economic models that depend too much on the attractiveness of the financial sector, so it is normal to have reluctance,” the French president said.