Activities Report 2024

The need for a unified capital market has never before been so pressing for the EU, nor has it ever been as high a priority for European policy makers. In 2024, several high-level reports highlighted the sustained growth of the US market and its appeal to European investors. They further illustrated the level of US market integration and its core contribution to at-home start-ups and corporate finance. The findings of these reports demonstrate a stark contrast with the fragmented European market.

Developing an action plan is high on the agenda for the von der Leyen II Commission, but agreements on how to curate such a plan have not yet been made. It is clear that another heavy legislative agenda is not the answer, given the extensive work of the two previous legislatures. Instead, the focus should be put on proper implementation and robust enforcement of existing law – not only by financial regulators, but also by competition policy authorities and the judiciary.

The EU’s financial market is not sufficiently integrated. Price convergence for financial products has declined, demonstrating that price competition is receding. To address these issues, policymakers must look to successful examples and take initiative at the local level to stimulate capital market financing.

ECMI is proud to have contributed actively to this debate and to raising awareness of the urgency for action through its many publications, debates and data sets. We will continue our mission of bringing together a variety of actors to further advance market financing, with all that this entails.

Karel Lannoo, CEO of CEPS and General Manager of ECMI