by far the world ’ s largest issuer. towards green cmu i must stress, however, that the continued growth of green capital markets will not happen by itself. we will at some point hit the same limits that now restrict the integration of our broader capital markets – missing cross - border infrastructures and national constraints. if the eu cannot provide the services that foreign investors and issuers are looking for, they will go elsewhere. in fact, we know from history that deep and liquid capital markets are key to a currency gaining global status. if others move faster than we do, the euro ’ s advantage as the global green currency could fade and be lost. the euro would miss an opportunity to strengthen its international role. so in my view we should reinforce the cmu agenda by supporting the development of green cmu. specific initiatives under the cmu action plan should be fast - tracked – even if they are applied only to sustainable finance for now. a key element is indeed the commission ’ s proposal on corporate sustainability disclosures. i strongly welcome this proposal and believe it can finally address the main data gaps currently afflicting the eu ’ s sustainable finance landscape. it will also be a key pillar of the commission ’ s forthcoming proposal for a european single access point. by integrating sustainability disclosures with financial data, we would create a “ one - stop shop ” for all critical information about a company, including its green credentials, which would be immensely useful for investors. but more fundamental reforms will also be necessary. we need proper european supervision of green financial products with official eu seals such as the forthcoming eu green bond standard. 10 this is key to ensuring compliance and to identifying systemic links and associated risks within the cross - border market. we also need harmonised tax treatment of investments in sustainable finance products, so as to prevent fragmentation of green investments along national lines. and we need further convergence in the efficiency of national insolvency frameworks, even carving out special procedures for green investments. these initiatives can be seen as an engine for the cmu project generally, testing and putting in place some of the measures that are needed to advance wider capital market integration. if we succeed, there will be very positive knock - on effects for european capital markets. in short, green cmu not only gives us a tremendous opportunity to craft something genuinely european and with immediate impact, but it also has the potential to transform the eu as a 3 / 4 bis central bankers'speeches whole. it would allow us

is important for the ecb, as they affect the transmission of our monetary policy across the euro area. they require parallel efforts on many different fronts. but a common thread is the need to enhance the contribution of the financial sector, in particular by taking significant steps towards a capital markets union in europe. integrated capital markets are at the heart of building resilience, because they encourage europeans to invest in debt and equity irrespective of home country considerations. that, in turn, helps share the costs of local recessions, because financial losses in one part of the union can 1 / 4 bis central bankers'speeches be offset by gains in another. scale and depth matter, as does a common regulatory framework. at present, however, financial markets are less integrated in the euro area than in other large economies. only around 20 % of shocks in the euro area were mitigated through cross - border debt and equity holdings between 1999 and 2016, compared with at least 60 % in the united states. 3 capital markets are also vital to fund the transformation of our economies. we need to see investment of around €330 billion every year by 2030 to achieve europe ’ s climate and energy targets4, and around €125 billion every year to carry out the digital transformation. 5 while banks can and should provide a good share of this funding, capital markets can provide innovative tools to close the investment gap. capital markets are better suited to financing projects with a defined purpose, directly linking investors to the impact they intend to achieve. and they are also better at drawing retail investors towards supporting transformative activities. 6 although we are making progress, thanks to the work of the commission, completing a fullyfledged cmu will take time. capital markets have developed nationally, so we first have to open them up and harmonise those markets in order to integrate them further. this begs the question : how do we deepen capital markets faster? are there market segments where fewer obstacles exist and where we can achieve high levels of integration quickly, but that also encourage the funding of future - oriented projects? developing european green capital markets to my mind, europe ’ s green capital markets meet all these criteria. green capital markets are dynamic and growing in europe, and they are already relatively well integrated. this means that as they deepen further, so will europe ’ s resilience. europe is established as the location of choice for green bond issuance, with around 60 % of all green senior unse