EU Capital Markets Lag Behind Global Competitors, Warns AFME

A study highlights the EU's fragmented financial markets and urges reforms to enhance competitiveness.

The Association for Financial Markets in Europe (AFME) reports that EU capital markets are falling behind the US, UK, and China in key areas like capital access and market liquidity.
The EU faces an annual funding gap of approximately €800 billion needed for digital, infrastructure, and sustainability projects, which is challenging to bridge without private investments.
AFME calls for an integrated and efficient capital market to support initiatives critical for Europe's economic competitiveness.
Germany is specifically noted for its low number of IPOs and high consumer savings rates, leading to less investment in capital markets compared to other countries.
Efforts to unify EU financial markets have been slow, with Northern European countries having better financial access than their Eastern counterparts.