Brussels: France and Germany have called on the European Commission to introduce a comprehensive European package to simplify the regulatory framework for financial services, ease administrative burdens on companies and institutions, while maintaining financial stability and enhancing the competitiveness of the European financial sector.

According to Qatar News Agency, German Finance Minister Lars Klingbeil and his French counterpart Roland Lescure stressed, in a joint letter to the European Commission, that partial amendments to new legislation are insufficient, calling instead for a broader review that also encompasses existing rules to ensure their consistency and effective implementation.

The letter included practical proposals to reduce duplicate and repetitive reporting requirements, increase reliance on established market practices where possible, eliminate unused regulatory mandates, and ease some of the reporting obligations for smaller banking institutions.

The German Finance Ministry had previously emphasized the importance of pushing for the simplification of financial services regulation at the European level, urging the Commission to act swiftly to present a dedicated package for this purpose, in line with agreements reached during meetings of EU finance ministers.

For her part, European Commission President Ursula von der Leyen stressed the urgent need to simplify EU rules within the European Union to enhance competitiveness, noting the complexities and fragmentation of financial regulatory frameworks across member states.