Convened informally by the Maltese Presidency of the Council of the EU on Wednesday 5 and Thursday 6 April in Valletta, EU competitiveness ministers identified a number of areas where the business environment for startups and SMEs could be improved.
Following a group reflection exercise organised by the Maltese Presidency (see EUROPE 11763), the ministers seemed to agree with the European Commission’s analysis of a number of initiatives to support startups and scaleups (see EUROPE 11673) that access to finance for EU enterprises was crucial.
The ministers stressed the need to make progress in the Union of Capital Markets for risk-capital investors and to get banks to streamline the access to finance for SMEs by reducing the associated cost of borrowing;.
They also stressed the need to increase the use of financial instruments to back innovation and entrepreneurship more generally, notably via the European Investment Bank and the European Investment Fund.
Interestingly, the ministers feel that European and national funds should be devoted to encouraging start-ups being established from European universities and research institutions, thereby strengthening the competitiveness of European industry.
Moreover, they feel regional and national stock exchanges as a source of alternative financing.
No binding decisions were taken, the aim being for the reflection to fuel reflection at Council level.
A diplomatic source informs us that Eurogroup’s analysis (it met informally in Valletta on Friday 7 April, see other article) seems to go in the same direction, mentioning the desire to boost modes of non-bank financing. A diplomatic source said this approach was clearly aimed at SMEs. (Original version in French by Pascal Hansens)