Press Release: LMA publishes response to European Commission targeted consultation on the competitiveness of the EU banking sector
16 April 2026The Loan Market Association (LMA) has submitted its response to the European Commission’s targeted consultation on the competitiveness of the EU banking sector, bringing the perspective of the trillion‑dollar EMEA loan markets, which play a central role in financing European corporates and projects.
In its response, the LMA highlights the importance of a more diversified and integrated European financing ecosystem, where bank lending is complemented by institutional capital sources, securitisation, and cross‑border credit flows. This broader funding mix is essential to strengthening banks’ balance‑sheet capacity and improving access to finance for EU corporates and projects, particularly in capital‑intensive sectors.
The LMA emphasise that regulatory design and calibration play a central role in shaping banks’ ability to compete globally and to support investment in Europe’s strategic priorities, including the green transition, digitalisation and defence. In particular, well‑functioning securitisation markets and consistent cross‑border lending frameworks are key enablers of scalable financing.
The response also reflects in the context of the Savings and Investment Union and the wider competitiveness agenda, underscoring the role of deeper and more efficient capital markets in mobilising private investment at scale across the EU and reducing reliance on public balance sheets.
From a loan markets perspective, this consultation sits at the intersection of bank lending, capital markets, and real‑economy financing capacity in Europe.
Jesse Beardsworth, Interim Head of UK & EU Public Policy & Regulatory:
''Loan markets sit at the intersection of bank lending and capital markets. 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.''
Evelien Alblas, EU Regulatory and Public Affairs Manager:
“This timely initiative by the European Commission provides an important opportunity to highlight that, from LMA’s perspective, competitive EU banks rely on a well-functioning and diversified financing ecosystem in which loan markets play a central role.''
The full response document is available here
For media enquiries or to discuss the LMA’s response and recommendations in detail, please contact Leyla Ghaffar-Zadeh, Head of Communications, LMA at Leyla.Ghaffar-Zadeh@lma.eu.com.