The completion of Europe's capital markets union is desirable not only from a financial stability standpoint. Equity … incentives for carbon-intensive sectors to develop greener technologies. Capital market underdevelopment in Europe is evident … when comparing company financing structures to other advanced economies. Even listed companies in Europe are substantially …

Complementing Europe's bank-based system with deeper capital markets and more cross-border financial integration … opportunity to shape a stable and cost-efficient financial system. In contrast, late action could mean that Europe loses out to … foreign competitors and misses an opportunity to improve financial intermediation in Europe. …