Europe's competitiveness and the need for a savings and investment union

We live in a time of geopolitical tensions. The European Union's international competitive position is no longer just a question of economic growth, but also of sovereignty. It is high time for Europe to mobilize its extensive savings to finance its strategic priorities.

These include the transition to a climate-friendly economy, digitalization and defense. In order for Europe to better finance its priorities, its financial system must become more independent.

Currently, the bond, equity and venture capital markets in the United States are significantly larger than in the EU. The venture capital market in particular is crucial for growth and innovation. Europe has to do better - the Savings and Investment Union is the right way to do this.

Given the important role of banks in financing the European economy, the debate on improving competitiveness has also reached the EU banking sector. Some may now be tempted to call for deregulation of banks on the grounds that this would improve their competitive position and their ability to promote economic growth.