The EU Parliament Think Tank published on 03 October 2024 the in-depth analysis “Can the Banking Union foster market integration, and what lessons does that hold for the Capital Markets Union? ”. The document was provided by the Economic Governance and EMU scrutiny Unit (EGOV) at the request of the Committee on Economic and Monetary Affairs (ECON).

The paper addresses the role of the Banking Union (BU) in promoting market integration and the lessons it provides for the Capital Markets Union (CMU). The authors first we tackle BU’s establishment, exploring whether it has achieved its original goals and discussing its main shortcomings. Then they address market integration in the BU and advance some proposals to finalise the BU accelerating effective market integration. Finally, they explore various BU-CMU interconnections, introducing policy-related considerations to support the development of a well-functioning CMU. The study has been co-authored by Prof. Rym Ayadi, Professor at Bayes Business School, City University of London, Senior Advisor at CEPS and President of EMEA, the members of EMEA Advisory Board Prof. Giovanni Ferri, Professor of Economics at the Department of Law, Economics, Politics & Modern Languages at LUMSA University and Prof. Barbara Casu, Professor of Banking and Finance & Director of Centre for Banking Research, Bayes Business School, City University of London, and Marco Bodellini, University of Luxembourg.