06/10/2020 | EIFR
Europe has been facing in recent years a dual challenge in the financial services area: increase resilience of the financial sector, namely the banking sector, while also harmonise regulation through a single rulebook in order to create a single, deep European financial market. To be efficient, this global market clearly needs a critical mass to facilitate adequate access to financial services and thus support growth and overall European competitiveness.
To accompany this challenge, the EIFR has constantly been promoting a «responsible regulation», together with a clear strategic roadmap for the financial industry, i.e. a shared view on the conditions for long term investment, on credit vs capital markets, on the conditions of profitability, etc.
The EBA has brought very substantial progress in restoring solvency and confidence in European banks. This role has actually become even more important in the context of Brexit and of the ambition of the new European Commission and Parliament for a comforted European project. The EBA is obviously a key player for putting in place both proper regulation and convergence of strong supervisory practices to ensure an effective environment for a European banking industry ready to support future growth.
An additional enormous challenge has emerged with the Covid-19, which is causing unprecedented economic disturbance. The EBA has been instrumental in providing swiftly guidelines to the banking industry to adapt and continue supporting companies and households during the turmoil and the recovery to come. Input and guidance from EBA appear particularly essential in this context of high turbulence to ensure effective, consistent prudential regulation and supervision across the European banking sector!