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EU Parl Watch

Changes between two versions

What changed between the draft committee report and the plenary report

From · draft committee report· 28 Apr 2025

ECON-PR-771960

on safeguarding and promoting financial stability amid economic uncertainties

To · plenary report· 14 Nov 2025

A-10-2025-0232

on safeguarding and promoting financial stability amid economic uncertainties

AI:What changed, in short

The report expands on Banking Union and CMU, adding goals for capital mobilisation and recognising trade-offs in consolidation.10 It adds new sections on monetary dominance, ECB independence, fiscal rules, and sovereign debt risks.12 It strengthens calls for NBFI regulation, including money market funds, crypto-assets, and leverage.7161721 It adds provisions on commercial real estate, geopolitical risks, and climate-related risks.1512 Other changes are formal or wording: headings, rephrasing, and references to reports.1235

18 changes of substance · 0 formal · 6 of wording only

Written by AI from the two texts only · read the changes before relying on it · 4 Sept 2026 · Report a problem

+34 added · −17 removed · 21 changed paragraphs, packaging included.

Part 3 of 3: EXPLANATORY STATEMENT

EXPLANATORY STATEMENT

4 unchanged paragraphs

Financial stability is a cornerstone of the EU’s economic resilience, especially in an era marked by significant geopolitical uncertainty, heightened market volatility, and structural changes. Recent events, such as energy market disruptions, geo-military tensions, trade wars, and financial market turmoil, have demonstrated the urgent need to address emerging risks and vulnerabilities before they escalate into systemic crises.

A well-functioning and fully integrated Capital Markets Union (CMU) is critical for both the stability and future growth of the EU. While deeper market integration can enhance investment flows and economic resilience, your Rapporteur believes that it is at least equally important to balance these benefits with adequate safeguards to mitigate potential risks. He highlights the importance of moving forward with reforms along the lines of those proposed in the Draghi and Letta reports to ensure that the EU’s capital markets are competitive but also stable.

The draft report also identifies several macro-financial risks, including rising sovereign debt levels, exposure to external shocks, and vulnerabilities in the non-bank financial intermediation (NBFI) sector. High asset valuations, the growing influence of decentralised finance, and the risks posed by margining practices are all factors that require careful regulatory attention. In addressing these concerns, your Rapporteur stresses the need for robust crisis preparedness mechanisms to safeguard the EU’s financial system.

Finally, it is crucial that financial supervision across the EU be enhanced to reflect the increasingly complex and interconnected global financial environment. Effective coordination between macro-prudential supervisors, access to granular data, and an ability to respond quickly to emerging risks are fundamental for safeguarding financial stability. Your rapporteur also highlights the need for stronger cooperation with international financial bodies to manage cross-border risks and ensure a coordinated response to financial instability.