The director of capital markets at the Association of Financial Markets in Europe (AFME), April Day, has called for a simplification of the regulation governing capital markets in Europe, with the aim of strengthening their competitiveness and favoring the financing of the real economy.
"Simplifying does not mean weakening regulation, it means having smarter, clearer, and more effective rules that safeguard stability while driving growth," he pointed out during the inauguration of the 17th Annual Conference on Spanish Capital Markets.
In his speech, Day stressed that markets "operate in a context of growing geopolitical uncertainty, changing monetary conditions, and increased demand to support long-term investment, innovation, and resilience".
The head of capital markets at AFME stressed that markets "are essential" for channeling resources to the real economy, supporting business expansion, and sustaining long-term investment. "Ensuring these markets remain deep, competitive, and resilient is not just a financial issue, but an economic and strategic priority," she added.
To advance in that direction, Day stressed that Europe needs a "clearer" regulatory and supervisory framework and that, consequently, simplification has become "a matter of competitiveness," encompassing both the rules separately and the combined effect of complexity and overlapping requirements on companies' ability to operate on a large scale.
"Europe needs to review both the existing regulatory framework and future reforms, improve transparency, apply proportionality consistently, and modernize the way rules are drafted and implemented," he indicated.