The Capital Markets Union (CMU) proposal marks two accomplishments. First, it reframes securitisation (the pooling, repackaging and selling of loans) as a practice that can somehow be “simple, transparent and standardised” (STS), a shortcut to stimulating economic growth and job creation in Europe (Bavoso 2016, Engelen and Glassmacher 2016).
Second, it reframes repo markets as crucial to (STS) market liquidity and monetary policy transmission, with little if any reference to their role as sources of excessive leverage and procyclicality (ESRB 2015, Gabor 2016, Gabor and Vestergaard 2016).
The CMU proposals, we argue, marked a renewed political commitment to integrated European markets for repurchase agreements (repo), away from early post-crisis efforts to tax or regulate money market funding of capital market lending (Mehrling et al 2013). While we stress that a multiplicity of actors have interests at stake in integrated, non-regulated European repo markets, as the notion of a “repo bargain” implies (Gabor 2015), our empirical analysis focuses on the interventions of the private repo lobby, notably the European Repo Council (ERC), to confront and undermine an emerging discourse framing repo markets as sources of systemic risk, to be mitigated by regulatory measures such as minimum haircuts. The notion of collateral fluidity, promoted by the ERC in the Capital Markets Union agenda, became a conceptual cornerstone of the discursive trick that turned the tables.
FEPS President at Euronews talk-show ‘Brussels, my love?’
by Euronews 15/01/2024
Panellists discussed topics including EU fiscal rules reform, German farmer's protests, and the decision of Charles Michel to quit his job early to run for MEP.
“Trade doesn’t work in isolation from good domestic policies” Interview to Arancha González
by Borderlex 19/09/2023
Interview to Arancha González, former Spanish foreign minister, who released together with FEPS the new book entitled 'The Trade Handbook: Making Trade Work for Prosperity, People and Planet'
A szociális unió imperatívusza
by Új Egyenlőség 09/09/2023
'The imperative of Social Union'. Article about FEPS book 'Europe’s Social Integration: Welfare Models and Economic Transformations' by László Andor.
Após 66 anos de adiamentos, a barragem do Pisão entrou em contra-relógio
by Pùblico 19/08/2023
'After 66 years of postponements, the Pisão dam has entered a race against time' Pùblico's article mentions FEPS Policy Study 'Governing the RRF'
Other cookies are used for Advertisement and Analytics (Sharing on social networks, video playing, analysis and statistics, personalized advertising ...) You can refuse them if you want to. REJECTACCEPTCookie settings