As part of the Capital Markets Union (CMU) package,
the European Commission (EC) has said it will review the
effectiveness and coherence of legislation ushered in after the
financial crisis. Market participants have welcomed the
proposal with the view that it is long overdue.
The ultimate goal of post-crisis initiatives was to
promote financial stability and ensure banks were safe to fail
– but in achieving that, growth has been neglected
somewhat. The CMU is widely viewed as different in this regard:
its primary objective is to facilitate growth in
Europe’s capital markets, and the Commission has
recognised that in some cases the burden of regulation stifles
"It isn’t sufficient, or acceptable, for
legislators to regulate without fully understanding the
relationship between the various initiatives, and...