In a keynote address on European banking competitiveness, Kyriakos Pierrakakis, Greece’s minister of national economy and finance and Eurogroup president, called for completion of the Banking Union to support the Savings and Investments Union and channel more European savings into productive investment. He argued that Europe needs about EUR 800 billion in additional annual investment and cannot fund its economic and strategic priorities through public budgets alone. Pierrakakis set out three priorities: removing barriers to cross-border activity and the movement of capital and liquidity within banking groups, strengthening common safeguards through crisis management, liquidity provision, resolution and progress on deposit insurance, and improving competitiveness through greater proportionality, more consistent supervision and less unnecessary complexity. Banks provide about 70% of financing to the European economy, yet only about 16% of euro area corporate lending is cross-border. He said reform should preserve regional and local banks alongside institutions with the scale to invest in technology and compete globally. The main obstacles are political rather than technical, requiring member states to address national concerns and find common ground through the Eurogroup and other European forums. Pierrakakis also called for continuous adaptation of regulatory frameworks and institutions as artificial intelligence, distributed ledger technology and cybersecurity develop, while maintaining financial stability and managing the risks of digital innovation.

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