Kyriakos Pierrakakis calls for integrated European banking market

Kyriakos Pierrakakis, Minister of Economy and Finance and President of the Eurogroup, has emphasized the necessity of completing the single banking market to bolster European growth. In an interview with the European Central Bank (ECB) Supervision Newsletter, Pierrakakis highlighted that while the priority was previously building a stable and resilient banking system, the current challenge is ensuring the financial sector acts as a lever for competitiveness and long-term development.

He noted that European capital often remains “trapped in national silos,” which fragments liquidity and limits market depth. To address this, he advocated for the completion of the Banking Union and the establishment of a Deposit and Investment Union. Pierrakakis argued that cross-border banking activity should become the norm rather than the exception, allowing capital and liquidity to flow more freely to support the EU's strategic priorities, including innovation, green and digital transitions, defense, and infrastructure.