The European Research Centre for Economic Governance (EURO-CEFG) of the Universities of Leiden, Delft and Rotterdam and the Centre for European Economic Law and Governance at the University of Wroclaw organise, together with the University of Warsaw, the European Capital Markets Institute (ECMI), the Centre for European Policy Studies (CEPS) and Bruegel invite for a high-level conference in Warsaw (Poland) on 16 November 2018 on 'EU Financial Markets: East meets West'. As a keynote speaker, Dr. Elke König, Chair of the Single Resolution Board (SRB), will open the conference that deals with how EU financial market regulation impacts the Central Eastern European Member States differently than the Western European ones. This conference brings together high-level experts from academia, from regulators and from banks coming from the West and from the East to discuss differences and similarities of financial markets in the East and the West and their needs for regulation.
The European Union’s expansions of 2004 and 2007 brought about extension of the single market for financial services to the countries of the Central and Eastern European Union (CEEU). As a result, the financial institutions established in the CEEU region are today subject to the same EU regulatory framework as their western European counterparts. Many also belong to the same groups that dominate the western financial landscape. This, however, did not obliterate the differences in the development of financial services and in the roles played by the financial institutions in the western and the eastern part of the EU
On the one hand, the western EU countries have been politically consolidated as a single currency area whose resilience was put to a severe test when the 2008 financial crisis revealed the excessive links between the area’s banks and sovereigns, and exposed the limitations of ‘home country control’ in financial supervision. This resulted in the political impulse for the establishment of a stronger regulatory framework for banking, known as the Banking Union, presently comprising the Single Supervisory Mechanism (SSM) and the Single Resolution Mechanism (SRM).
On the other hand, the smaller but more resilient financial sectors of the CEEU countries have proved able to cushion, rather than exacerbate, the global macroeconomic shocks of the past decade. Subsidiaries of the euro area banking groups operating in the region were less burdened by the unsound business practices that plagued their western parents. Moreover, relatively small proportion of banking assets to national GDPs of the CEEU countries allowed to limit the ‘too big to fail’ problem. Nevertheless, specific regulatory issues, such as gaps in anti-money laundering compliance, negatively affected the perception of some financial operators in the region. In addition, while smaller CEEU economies gradually joined the euro area, the larger countries of the region remained outside, and therefore outside the Banking Union. This exposes the cross-border banking groups operating in these countries to persistent exchange rate risks and home-host supervisory issues.
The European Research Centre for Economic Governance of the Universities of Leiden, Delft and Rotterdam and the Centre for European Economic Law and Governance at the University of Wroclaw organise, together with the University of Warsaw, the European Capital Markets Institute (ECMI), the Centre for European Policy Studies (CEPS) and Bruegel organise a high-level conference in Warsaw on 'Banking and Financial Regulation in the East and the West'. The conference will discuss in four panels with speakers from supervisors, policymakers and academia from Eastern and Western Europe the following topics;
- Regional differences in financial intermediation: the eastern and western EU
- The euro area and its neighbours – links and prospects for the financial sector
- Social utility of the financial system: the role of regulation and supervision
- Capital Markets Union: EU-wide capital market or regional consolidation?
Friday, 16 November 2018
9:00 – Welcome Address
Prof. UWr. dr. hab. Dariusz Adamski,
University of Wrocław
Centre for European Economic Law and Governance
9: 10 – Introductory Notes
Paweł Samecki
Member of the Management Board
Narodowy Bank Polski
9.30 – Keynote Speech
Dr. Elke König
Chair of the Single Resolution Board (SRB)
| Panel 1 | Panel 2 | Panel 3 | Panel 4 |
|---|---|---|---|
10:00 – Panel 1 Regional Differences in Financial Intermediation: | 11:40 – Panel 2 The Euro Area and Its Neighbours: Links and Prospects for the Financial Sector | 13.40 – Panel 3 Social Utility of the Financial System: the Role of Regulation and Supervision | 15.20 – Panel 4 Capital Markets Union: |
Introduction and Moderation | Introduction and Moderation | Introduction and Moderation | Introduction and Moderation |
Panelists Andrzej Banasiak Willem Pieter De Groen Prof. Dr. Christos V. Gortsos 10.40 – Discussion 11.20 – Coffee | Panelists Dr. René Repasi Nina Stoyanova Nicolas Véron 12.20 – Discussion 13.00 – Lunch | Panelists Prof. UWr. dr. hab. Dariusz Adamski Prof. Dr. Jens-Hinrich Binder Prof. Dr. Kleis W.H. Broekhuizen 14.20 – Discussion 15.00 – Coffee | Panelists Prof. Dr. Matthias Haentjens Jacek Kubas Dr. Diego Valiante 16.00 – Discussion
|
16.40 – Concluding Words
Prof. Dr. Fabian Amtenbrink
Scientific Director EURO-CEFG
Erasmus University Rotterdam
17.00 – End of the conference
