Sweden's Riksbank published remarks by Governor Erik Thedéen from a conference on developing EU capital markets, arguing that stronger capital markets are essential to meet the Union’s investment needs and support the digital and green transitions. He also pointed to recent geopolitical developments and increased defence spending as reinforcing the case for action, and welcomed the European Commission’s renewed initiatives and strategy in this area. Thedéen stressed that there is no single quick fix and that progress requires a long-term, broad-based effort to build ecosystems that channel savings into productive investment, with financing reaching different types of firms at different stages of development. He called for a pragmatic approach that combines pan-European solutions where warranted with local and regional models, citing Nordic-Baltic cooperation and integration, including in Sweden, as examples that could inform wider EU efforts.