Banking marketCapital markets unionEconomy

Banks are the beating heart of our economy

Thomas Schlüter

In a recent interview, Christian Sewing, President of the Association of German Banks and CEO of Deutsche Bank, emphasised the importance of competitive banks for the German and European economies. “The focus must be on creating framework conditions that strengthen the banks, not weaken them. Having competitive banks means having a strong economy. We must do more to highlight the function of banks and their role as the beating heart of our economy,” he said.

More than 10,000 start-ups are served by Germanys three largest private banks alone.

Banks are playing a crucial role in the fight against climate change and in the transformation of the economy. “Not only do banks have the capacity to provide the necessary financing for these vital tasks, we can also open up direct access to the capital markets,” said Christian Sewing. He also emphasised the importance of a European capital markets union and a single financial market, “We need more Europe. Only then will we be able to compete with the US and China. Going it alone would be a tough challenge for Germany in the long run, however. It means, as banks, we need to define our domestic market in European terms”.

In March 2023, Christian Sewing will also take on the position of President of the European Banking Federation (EBF). He will take over from Ana Botín, head of Spain’s Banco Santander. The EBF represents around 3,500 financial institutions across Europe.