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Exchange of views: CMU way forward: IMF proposal for a new action plan

Day 1 Morning

Wednesday 11 September

Room :

Fennia II - Exchange of views

Speakers

Chair
Mahmood Pradhan
Deputy Director, European Department, IMF
Discussants
Ashok Bhatia
Deputy Chief, Euro Area, IMF
Philipp Hartmann
Deputy Director General, Research, ECB
Mario Nava
Director, Horizontal Policies, DG FISMA, European Commission

Objectives of the session

As an introduction to this session, IMF representatives will present a recent discussion paper on the Capital Markets Union (CMU) based on the results from a survey identifying the main obstacles to the integration of capital markets in the EU. This paper describes the potential macroeconomic benefits of lowering the barriers to capital market integration, identifies three main objectives at the EU level to help achieve greater capital market integration (related to the enhancement of transparency, the improvement of regulatory oversight and the enhancement of insolvency practices) and proposes a medium-term action plan for achieving these three objectives.

Following this presentation the panellists will discuss the potential impacts and feasibility of these proposals and how they may be taken into account in the context of the present CMU initiative.

Points of discussion

Are the obstacles to the integration of EU capital markets identified by the IMF survey the right ones? Are the three areas of priority highlighted in the IMF paper the most relevant ones for making progress on the CMU in the 5 coming years and are they appropriate for all EU Member States? What is the relative importance of further integrating EU capital markets vs developing domestic capital markets for achieving the objectives of the CMU?

How may these proposals be taken into account in the existing CMU action plan? Are there any operational or political obstacles to the implementation of the policy actions proposed by the IMF and how may they be tackled?