The CSFI video of the 164th edition of our 'Brussels for Breakfast' series
Why you should watch:
It has been a very busy few weeks across the Channel - and,
at least in some eyes, the EU's 'Hamilton moment'. The European Council's
agreement on a 'Next Generation' Europe package, including €750 billion to be
raised in the capital markets with an EU guarantee, was a big step forward -
though it also raises serious questions about how the bonds will be serviced. The
MAFF was also important. But that was far from all. There was an important
change in the Presidency of the Eurogroup and a controversial decision on
Apple's tax case. Plus, there is the continuing saga of EU/UK talks on a longer
term relationship, which are clearly going down to the wire. October looks like
the key month.
Moderator: Andrew Hilton (Director, CSFI)
Graham Bishop is 'a leading technical analyst
of economic and structural developments in the financial markets of Europe',
via his on-line consulting service, grahambishop.com. He is also a long-time
advisor to the European Commission and the Parliament.
Sir David Lidington was MP for Aylesbury from
1992 to 2019. His distinguished Parliamentary career included stints as Minister
for the Cabinet Office, Chancellor of the Duchy of Lancaster, Minister of State
for Europe, Leader of the House of Commons, Lord Chancellor and Secretary of
State for Justice. He also has a PhD from Cambridge. Phew.
Andrew Wilde is head of European financial
services at Smithfield, the specialist financial services consultancy of
Edelman, of which he is also a director.
Simona Amati is now a senior adviser and chief
economist at Kreab in Brussels, where she has co-managed the financial services
public affairs practise. She formerly worked at the Central Bank of Luxembourg
and at the ECB.
Graham Bishop's analysis targets the interaction of the driving forces of politics and economics as they force the required changes in financial regulation – at the macro level - rather than covering the micro aspects of detailed implementation. These are precisely the topics where a well-informed financial professional should remain competent: it can form part of their Continuing Professional Development (CPD).
Banking union and capital markets union are already underway, but obstacles remain and consumer protection is a necessary conditon for success.
The next big project – enhancing the international role of the euro – is only under discussion but the EU is seeking to neutralise any “weaponising” of the dollar
Environmental, Social and Governance (ESG) policies are a key priority for the new Commission – with a European Green Deal planned within its first 100 days. But “sustainable finance” goes beyond “green” and includes social considerations as well as the governance that brings it to the forefront of financial decision-making.
The Fin Tech Action Plan will help the financial industry make use of the rapid advances in technology such as blockchain and other IT applications and strengthen cyber resilience. The impact on payment systems will be at the cutting edge.
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As a `Friend of GrahamBishop.com' you can easily `scan the horizon’ for politics and economics driving regulatory reform of European financial markets by joining the 'Brussels' Finance Watchers community
Graham Bishop is honoured to have been awarded a research contract by the European Commission as part of its series of studies on various aspects of euro area sovereign bond markets.
Graham's contract is intended to illuminate the attitudes of investors toward the euro area sovereign bond markets. In particular, this leads to consideration of attitudes towards the potential for a “common euro area safe asset”: what characteristics should it possess and whether it would ameliorate any of the concerns expressed about the features of existing bond markets.
His proposal for a Temporary Eurobill Fund is one of the range of options in this study. His proposal offers a modest, technical but concrete step that can be expanded progressively into a financial, economic and political structure if circumstances develop propitiously. This author has developed the TEF plan over several years and has comprehensively updated it in the form of “30 FAQs”. Click to download.