07 March 2002

Bolkestein concerned about pace of delivery of FSAP

'My biggest concern probably lies in the overall pace of delivery of the Financial Services Action Plan', said Mr. Bolkestein. 'This year the Council and the European Parliament will have to adopt ten or so legislative acts if we are to meet our targets. This will require a great deal of political courage from all parties.'

Bolkestein mentioned that the key concern is the Takeover Bids Directive. The report of a Group of high level company law experts has since than examined the issues raised which are examined by the Commission. The Commission proposal shall be put forward in late Spring.

The discussions on the Prospectus Directive are not proving easy with the European Parliament. In the Council, most Member States are basically in favour, but there are still a number of points being discussed. An agreement should be reached by this June.

Current negotiations on the Pension Funds Directive have been too slow and inconclusive. The Spanish Presidency is sparing no efforts to achieve reach agreement by June.

The most difficult challenge is on upgrading and modernising the Investment Services Directive – ISD. Finding a common line is going to be very difficult. A Communication on Clearing and Settlement will be published in a few months and will prove, if further action is required.

At the Mid Term Review of the FSAP, Bolkestein concluded that the Commission needs to adopt by June this year the proposals on Distance Marketing, Market Abuse, International Accounting Standards and Collateral, and by year end the Directives on Prospectuses, Pension Funds and Conglomerates.
(see timeline event)

'Latest developments like the 11 September and ENRON require policy responses', Bolkestein said with a view of policy implications on different areas like the retail markets, auditing and reinsurance and insurance solvency rules.

With a view on the Barcelona summit, the Commissioner stated that firm agreements and deadlines are needed. “To achieve this, I have suggested that ministers should be present and ready to assist the EU leaders in hammering out the details required to reach agreements on individual issues.”

“With sufficient political will, Barcelona might just turn out to be the decisive step towards an integrated financial sector in the EU. This would be key in meeting our strategic, long-term goal of turning Europe into the most competitive economy in the world.”

See full speech

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