ECB Proposes Single Market Reforms to Strengthen Euro Area Bank Competitiveness

Wed, 22 Apr 2026 16:48:26 +0000
Banking

The ECB Governing Council published its response to the European Commission's public consultation on EU banking sector competitiveness, endorsed by all euro area central banks. The response calls for the euro area to function more as a single jurisdiction with capital and liquidity moving freely across borders, and proposes concrete reforms including shifting banking rules from directives to directly applicable regulations, merging five macroprudential buffers into two, and increasing proportionality for small banks. The Council also urges progress toward a European Deposit Insurance Scheme and deeper capital markets through a savings and investments union.