Germany’s finance minister said the EU’s capital markets union outweighs any urge to protect national interests. He urged Brussels to push ahead with cross‑border supervision of banking, securities and insurance services, arguing that fragmented rules raise costs for German firms and investors. He warned delays could push German markets behind France and the UK. The remark marks a pivot from the country’s preference for oversight.

The minister’s stance follows months of friction over the EU’s proposed “passport” regime, which would let firms operate across member states under a single licence. German banks have warned that divergent capital requirements erode competitiveness, while the finance ministry says harmonisation could unlock billions of euros in efficiency gains domestically. The proposal includes a mechanism to streamline cross‑border transactions.

By signalling willingness to cede oversight, Berlin hopes to attract foreign capital and lower financing costs for its export‑driven economy. Investors will watch how quickly EU regulators translate the rhetoric into binding rules, because any delay could keep German issuers at a cost disadvantage relative to peers in France and the Netherlands. Such alignment could also reduce Germany’s reliance on foreign funding.