EU finance ministers gathered in Luxembourg on 9 October 2026 to announce an agreement that would give the European Securities and Markets Authority direct supervisory powers over major parts of the bloc’s financial markets.
Roland Lescure, the French finance minister, greeted the accord by saying: “This is a great day, we have a deal.”
The deal would strengthen the Paris-based authority, known as ESMA, which currently coordinates national market regulators rather than serving as their direct supervisor. It would oversee stock exchange platforms, clearing houses and crypto-asset service providers, while gaining greater decision-making powers and a clearer relationship with national regulators.
The agreement followed months of negotiations led by Ireland under its rotating EU presidency. Ireland and Luxembourg had criticised earlier European Commission proposals, saying they threatened their influence over important financial sectors.
Germany secured an exemption for the Frankfurt stock exchange operator, Deutsche Boerse. Berlin had argued that Deutsche Boerse did not have Euronext’s cross-border dimension, and therefore did not warrant ESMA supervision.
Lars Klingbeil, the German finance minister, called the outcome “a very important and significant step” for investment and jobs in Europe. He also said that “everyone made compromises.”
Simon Harris, the Irish finance minister, described the agreement as “a major step forward for a deepened savings and investments union.” Eelco Heinen, the Dutch finance minister, called it a “major step forward” and said it represented “more progress in 10 months than in 10 years.”
The reform forms part of the EU’s Savings and Investments Union (SIU), an effort to direct European savings into cross-border investment and reduce companies’ funding costs across the bloc.
ESMA will become operational only after the EU Parliament and member states negotiate a final text. The EU hopes to complete that work by the end of the year.
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