meta_id 3070869

On 16 April 2026, the Loan Market Association (LMA) submitted its response to the European Commission's targeted consultation on the competitiveness of the EU banking sector. The LMA's submission represents the perspective of the trillion-dollar European, Middle Eastern, and African (EMEA) loan markets, which finance European corporates and projects. The LMA emphasises that a more diversified and integrated European financing ecosystem is essential for strengthening banks' balance-sheet capacity and improving access to finance for EU corporates and projects, particularly in capital-intensive sectors. The association highlights that bank lending should be complemented by institutional capital sources, securitisation, and cross-border credit flows. The LMA stresses that regulatory design and calibration are central to shaping banks' ability to compete globally and support investment in Europe's strategic priorities, including the green transition, digitalisation, and defence. Well-functioning securitisation markets and consistent cross-border lending frameworks are identified as key enablers of scalable financing. The LMA contextualises its response within the Savings and Investment Union and the wider competitiveness agenda, underscoring the role of deeper and more efficient capital markets in mobilising private investment across the EU and reducing reliance on public balance sheets. Jesse Beardsworth, Interim Head of UK & EU Public Policy & Regulatory, notes that "getting the regulatory calibration right is crucial to ensuring banks can work alongside institutional investors to finance large-scale, long-dated projects that are central to Europe's long-term growth and competitiveness." The full response document is available on the LMA website.