Strengthening the Integrity of the European Financial Market: A Recap of the ACA, ABBL, and ALFI Reception in Brussels

Because ABBL, ALfi and ACA believe in an open dialogue with the European institutions, they constantly exchange views with decision makers and stakeholders abiut EU legislative proposals. To celebrate this relationship, the three associations and their joint EU Representative Office hosted a reception on 15 November at the historical Grande Place in Brussels. Were attending representatives of the European Parliament, the Council as well as stakeholders from the various European and national associations. The chairmen Guy Hoffman, Jean-Marc Goy and Christian Strasser focussed their short speeches on the common theme of the importance of a well functioning internal market for the Luxembourg and European financial sector and economy at large.

Insurance and reinsurance are essential drivers of growth, stability, and innovation. The sector plays a crucial role in the prosperity of Europe. Therefore, it is imperative to work towards the preservation and strengthening of the integrity and openness of the European Union’s internal market.

The success story of the EU’s internal market, marked by the elimination of trade barriers, the promotion of competition, and the stimulation of economic growth, has benefited all member states, including Luxembourg. Our thriving insurance sector offers diversified services across the EU, contributing to this collective success.

However, despite these achievements, growing challenges threaten the European landscape. Nationalistic sentiments, increased regulatory complexity, protectionism, and geopolitical uncertainty could hinder cross-border services, disrupt economic integration, and harm the well-being of the EU. In the face of this, collective action is imperative.

Cross-border activity, once the heart of the internal market, is now perceived as riskier, with demands for multiple supervisions. This is a concerning trend that actively threatens the essence of our single market.

To preserve the integrity and openness of the internal market, ACA advocates for a multifaceted approach. This involves working together to eliminate barriers to the flow of services and capital, maintaining fair conditions, and ensuring equal rules and standards for fair competition benefiting everyone.

The financial services sector is no exception. Adapting to a changing world requires aligning regulations and practices for a competitive market, including embracing digital and green transitions. ACA believes that the right balance between cooperation and open competition is essential to address global challenges such as climate change, financial stability, and cybersecurity.

We must also ensure that our regulatory framework is proportionate and evidence-based. Overly restrictive regulations stifle innovation and hinder growth. We should aim for smart, flexible regulations that protect consumers while enabling cross-border businesses to thrive.

In conclusion, our commitment to preserving the integrity of the EU’s internal market is essential for the prosperity of our continent. The financial sector has a central role to play. By upholding the principles of the single market, fostering innovation, and promoting international cooperation, we can overcome challenges and create a brighter future for all Europeans.