EU finance ministers agreed on Friday to centralise supervision of major European stock exchanges and financial market infrastructure at the EU level under the European Securities and Markets Authority (Esma). The overhaul aims to deepen capital market integration and boost the EU’s competitiveness against the US by enabling companies to raise capital locally. The current system, with 27 national regulators overseeing over 35 stock exchanges, 17 central counterparties, and 28 central securities depositories, is seen as reducing liquidity and increasing financing costs.
Under the agreement, Esma will directly supervise eight trading venues, post-trading infrastructure, and some crypto exchanges, though Germany secured an exemption for Deutsche Börse until it reaches a certain market share threshold. Qualifying venues include Euronext, Nasdaq, Cboe, Tradeweb, and the London Stock Exchange Group’s European subsidiaries. The German carve-out has drawn criticism from smaller countries like Luxembourg and Belgium, which sought to retain control over domestic organisations.
Safeguards allow nine national regulators acting jointly to contest Esma’s draft binding decisions, though Esma can still overrule objections. Critics argue the safeguards add red tape and undermine efficiency, while officials like Maria Luís Albuquerque say the deal falls short of the ambition needed for an effective, agile supervisor. Others welcomed the agreement as the best achievable outcome, stressing the need for practical cooperation over perfection.
উৎস: Financial Times Markets · সারাংশ: HeadlinesBriefing