2013年-IMF国际货币组织全球_European_Union_Publication_of_Financial_Sector_Assessment_Program_DocumentationTechnical_Note_on_Financial_Integration_and_Fragmentation_in_the_European_Union_38页_1mb

Summary of the Financial Sector Assessment Program Documentation: Financial Integration and Fragmentation in the European Union

Core Content

This document is part of the Financial Sector Assessment Program (FSAP) prepared by the International Monetary Fund (IMF) staff team as background for the periodic consultation with EU member countries. It was completed on February 22, 2013, and focuses on the evolution of financial integration and fragmentation in the European Union (EU), particularly in the context of the 2008 financial crisis and its aftermath. The document analyzes the impact of financial integration on economic stability, highlights the adverse effects of fragmentation during the crisis, and discusses policy options for restoring integration.

Main Views

1. Financial Integration in the EU

• Financial integration in the EU accelerated significantly after the introduction of the euro, supported by the single passport and the creation of a common market.
• The integration was evident in the rapid growth of cross-border exposures, especially between the "core" EU countries (including the U.K.) and the EA periphery and emerging EU countries.
• Integration was more pronounced in wholesale funding markets and sovereign bond markets, but less so in retail banking and equity markets.

2. Uneven Integration and Risks

• Despite progress, financial integration remained uneven across countries and markets, with significant fragmentation in retail banking and equity markets.
• The integration of financial systems was accompanied by a reduction in interest rate spreads and convergence of funding costs, but macro-financial risks, especially sovereign risks, were mispriced.

3. Effects of the Crisis

• The 2008 crisis marked a turning point, leading to a sharp halt in financial integration and a reversal of capital flows, particularly in the EA periphery.
• The crisis led to increased counterparty risks and liquidity pressures, with EA banks reducing their cross-border exposures and increasing domestic ones, resulting in a re-nationalization of banking systems.
• The mispricing of sovereign risks and the lack of adequate buffers contributed to the crisis and its spread.

4. Policy Responses

• The EU and the ECB implemented significant policy measures, including the creation of the European Systemic Risk Board (ESRB) and the European Securities and Markets Authority (ESMA), to improve coordination and address risks.
• The establishment of the Banking Union and the use of mechanisms such as the Long Term Refinancing Operations (LTRO) aimed to stabilize the financial system and restore integration.

5. Implications for Financial Stability

• The contamination of risk between banks and sovereigns raised concerns about the future of the EU financial structure.
• Restoring the solvency of banks is crucial, but must be done in a way that preserves the single market for financial services.
• A more integrated approach to macroprudential policy at the European level is essential to prevent uncoordinated actions that could damage the single market.

Key Information

Financial Integration Trends

• EU Banking Structures: The EU financial system is primarily bank-based, with total bank assets accounting for 283% of EU GDP, compared to 65% in the U.S.
• Bank Size Distribution:
  • Large banks: €26,780 billion (211% of EU GDP)
  • Medium banks: €8,040 billion (63% of EU GDP)
  • Small banks: €1,082 billion (9% of EU GDP)
• Cross-Border Exposures:
  • Intra-EU foreign exposures of EU banks increased by €5.5 trillion (about 215%) from 2000 to 2008.
  • In 2007, cross-border claims accounted for about 30% of EU GDP in interbank markets, and 54% of total holdings of EU bonds by EA banks.
  • Cross-border loans remained limited, with about 85% of EA domestic credit institutions' loans going to domestic residents.

Financial Fragmentation During the Crisis

• The crisis led to a sharp reversal of capital flows, particularly in the EA periphery, and a reduction in cross-border exposures.
• The re-nationalization of banking systems was a key feature, with EA banks significantly decreasing their cross-border positions and increasing domestic ones.
• In absolute terms, intra-EA cross-border positions fell by €1.5 trillion, and cross-border exposures to other EU countries decreased by €370 billion.
• Domestic positions of EA banks increased by €1.2 trillion during the same period.

Macroeconomic Impact

• Financial integration reduced economic fluctuations in the EA, particularly through inward banking integration.
• However, the effect was uneven across countries and weakened during the crisis.
• Sovereign risks were mispriced during the pre-crisis period, with little correlation between sovereign spreads and macroeconomic indicators.

Policy Options and Future Outlook

• Policy measures to restore financial integration include strengthening the Banking Union, improving macroprudential coordination, and addressing sovereign-bank linkages.
• A more integrated approach to systemic risk identification and macroprudential policy actions at the European level is essential.
• The EU must balance national flexibility with cross-border coordination to ensure the stability and resilience of the financial system.

Tables and Data Highlights

• Table 1: Highlights determinants of leveraging and deleveraging, including macroeconomic indicators and regulatory changes.
• Table 2: Shows access to finance, domestic financial activity, and cross-border banking trends from 2009H1 to 2012H1.
• Table 3: Compares the supply and demand of loans to non-financial companies from 2006Q1 to 2012Q3.
• Table 4: Compares the supply and demand of household loans for home purchase from 2006Q1 to 2012Q3.

Appendix

• Appendix 1: Provides data on the share of cross-border holdings of financial assets by EA banks, highlighting the uneven integration across the EU.

Conclusion

The document underscores the importance of financial integration for economic stability but also highlights the risks and challenges that emerged during the crisis. It calls for a coordinated, integrated approach to macroprudential policy and systemic risk management to ensure the resilience of the EU financial system and preserve the single market for financial services.