The European Elections in France: The paradox of a more European yet more eurosceptic campaign. EPIN Commentaries No. 16, 6 February 2014

Despite the probable shift towards European rather than national issues in the European election campaign in France, the combined effects of the economic crisis and the unpopularity of political leaders could crystallise a ‘protest’ vote for both national and European leaders, and for the EU as a whole, explain the authors in this EPIN Commentary.

Euro-enthusiasm, Euro-rejection, and various shades of grey: The 2014 European Parliament election campaign in the Netherlands. EPIN Commentary No. 18/29 April 2014

With less than a month to go to the European Parliament (EP) elections, campaigning has barely begun in the Netherlands. Whether the campaign will address concrete EU policies or the future of the European Union remains to be seen, but this author argues that the outcomes will probably have less to with the parties’ stance on Europe than with the unpopularity of the incumbent parties and the ‘second order’ character of EP elections.

Euro-enthusiasm, Euro-rejection, and various shades of grey: The 2014 European Parliament election campaign in the Netherlands. EPIN Commentary No. 18, 29 April 2014

With less than a month to go to the European Parliament (EP) election in the Netherlands on May 22nd, the campaign has barely kicked off. It remains to be seen whether the campaign will address concrete EU policies in a palatable way and whether all parties are able to present clear visions about the future of the European Union. The traditional mainstream parties (the Christian Democratic CDA, Liberal VVD and Social Democratic PvdA) all agree that EU membership is essentially beneficial to the Netherlands, but are careful to stress the shortcomings of the EU in its present form. The parties outside the traditional three that can be expected to do well adopt a more outspoken position on European integration. These include the pro-European Democrats 66 (D66), the Eurosceptic Socialist Party (SP), and the Euroreject Freedom Party (PVV). Yet, reasons for their success should probably not be sought mainlyin their positions on European integration, but rather more in the unpopularity of the incumbent parties and the „second order‟ character of EP elections.

Supporting Access to Finance by SMEs: Mapping the initiatives in five EU countries. ECMI Research Report No. 9, April 2014

This paper maps the initiatives to support access to finance for small- and medium-sized enterprises (SMEs) that were available at national level in 2012 in the five biggest European economies (Germany, France, the UK, Italy and Spain). This mapping distinguishes initiatives promoted and financed primarily through public resources from those developed independently by the market. A second breakdown is proposed for those sources of finance with different targets, i.e. whether the target is debt financing (typically bank loans at favourable conditions, public guarantees on loans, etc.) or equity financing (typically venture capital funds, tax incentives on equity investments, etc.). A broad set of initiatives has been implemented to close the funding gap of SMEs in these five countries. The total amount of public spending for SMEs, however, has remained well below 1% of GDP. Public subsidisation of bank loans has been by far the most diffused type of intervention. Despite the fact that this strategy might prove to be effective in the short term, it fails to address long-term sustainability issues via a more diversified set of financing tools.

The Impact of Banking Structural Reform on Household Retail Finance. ECRI Commentary No. 13, 7 October 2014

There are two main objectives behind the EC proposal on banking structural reform: the financial stability objective and the economic efficiency objective. If it is implemented, the reform should reinforce the stability and economic efficiency of household retail activities through lower contagion, better resolvability in the event of failure, more harmonised supervisory practices across the EU and more resilient household demand for retail loans. However, it could also trigger counterproductive effects that could partly undermine the expected benefits. These potential negative effects are not appropriately assessed in the impact study of the proposal published in January 2014 and will require further consideration in the coming months. In particular, the stability of household retail finance could be strengthened by placing more emphasis on bankruptcy risks of retail banks; the transfer of existing systemic activities towards less regulated and supervised markets and reputational risk. A better analysis of the borrowing costs for households (impacted by the potential decreasing diversification of the funding base of banks and scarcer liquidity) and implementation costs could help regulators to achieve the objective of efficient household activities.