Brussels, 17/11/2004 (Agence Europe) - Tuesday's Ecofin Council placed emphasis on consultation between all actors when it comes to the integration of financial services. It extends the "Lamfalussy" approach to occupational pension schemes, and the banking and insurance sectors. The Commission will present an impact study on a future draft directive concerning "post market" operations.
On the subject of financial service integration, the Council invites the Commission to take into account the report by the Financial Services Committee of May 2004. Any new legislative proposal should be accompanied by a systematic analysis of obstacles and an impact assessment. It will only intervene when it is truly necessary and at an appropriate level. An active dialogue with professionals in the sector is essential. The Council also stressed the importance of full implementation of the legislation in force by Member States. It encourages rapid adoption of legislative proposals underway on: legal auditing, the creation of a Community market for reinsurance, money laundering, accounting norms as well as adequacy of own funds for credit establishments and investment firms. The Council calls on the Commission to continue its examination of questions that affect the integration and stability of financial markets, especially concerning the way the deposit guarantee systems work.
The Council welcomes the "Lamfalussy" approach in developing the regulatory framework on the transferable securities market. This approach brings in greater flexibility and rapidity in the legislative process and promotes rapid adjustment to financial market changes, mainly in the technological sector. On the basis of this analysis, that is also shared by the Commission and Parliament, the three institutions have decided to also apply this approach to occupational retirement schemes and to the banking and insurance sectors. The Lamfalussy approach comprises four levels, which share out the decision-making responsibilities according to the nature of the legislation being adopted.
Finally, the Council adopted without debate conclusions on the compensation and delivery-versus-payment systems. These systems allow post-market operations necessary for the transfer of property and the payment of a security between a buyer and seller to be carried out. The Council welcomes the Commission's intention to present an impact study on a future legislative proposal in this field. Expected for the second half of 2005, the proposal will come after the public consultation launched in April 2004 (see EUROPE of 6 November).