📝EBF Morning Brief - Tuesday 14 January 2025: ECB’s chief economist warns of too-low inflation if interest rates stay high

EBF MORNING BRIEF Tuesday 14 January 2025

FROM THE MEDIA

Financial Times: ECB’s chief economist warns of too-low inflation if interest rates stay high

As stated in FT, Philip Lane points to dangers of borrowing costs that remain ‘too high for too long’. Read more

The Banker: Banks may enjoy wiggle room for new Sepa regulations

October regulation deadline set to bring more challenges for lenders, according to experts, as mentioned at The Banker. Read more

Bloomberg: UK Markets Fall Again as Inflation Countdown Unsettles Traders

The moves suggest UK assets will remain fragile at least until Wednesday, when December’s consumer price data is due, writes Bloomberg. Read more

MAIN EVENTS

Council Working Party of Financial Counsellors

Council Budget Committee

ECB: Long term interest rates statistics (Dec. 2024)

Council Code Of Conduct Group (Business Taxation) (Subgroup (External Issues))

Centre on Regulation in Europe ‘Towards Inclusive AI’ conference

FROM EBF MEMBERS

Finance Latvia: Timely Bill Payments in Winter Pose Challenges for 16% of Latvian Residents

16% of Latvians face difficulties with winter bill payments due to heating costs, particularly older adults. Automated systems and flexible payment plans are suggested solutions. Read more (LV)

Finance Finland: American Tech Companies Boosted Investment Funds to Strong Returns – Over €9 Billion in New Capital in 2024

Investment funds registered in Finland saw €9.3 billion in new capital in 2024, driven by the strong performance of American tech stocks and AI-related growth. Total fund assets reached €184 billion by year-end, marking a record high. Read more (FI)

Association of German Public Banks: The German Banking Industry Committee (DK): EBA Guidelines on ESG Risks - DK Urges German Supervisors to Allow More Proportionality

The DK urges proportionality in applying EBA’s ESG risk guidelines, emphasizing flexibility for smaller banks to avoid excessive regulatory burdens. Read more (DE)

FROM THE INSTITUTIONS

ECB: Households and non-financial corporations in the euro area: third quarter of 2024

Household financial investment grew by 2.4%, and corporate financing rose by 1.0% in Q3 2024, with signs of slower declines in corporate profits. Read more

FROM THE EBF

Facts&Figures 2024

The European Banking Federation (EBF) has published Facts & Figures 2024, its annual update on the banking sector in Europe. Building on 2023 data from the European Central Bank (ECB), the statistical publication provides users with a unique perspective on the structure, performance, lending, and deposit trends in European banking alongside a country-by-country overview. Read more

New Report of the C-ESG Risk Roundtable Data Workstream

The latest report from the Data Workstream of the C-ESG Risk Roundtable explains how climate change and biodiversity- and ecosystems-related disclosures from non-financial corporates under the CSRD can be utilized by banks for risk management purposes. It serves as a starting point for fostering better dialogue between banks and non-financial corporates, ultimately contributing to key processes such as customer due diligence, customer risk assessments, and credit ratings. Read more

ABOUT THE EUROPEAN BANKING FEDERATION

The European Banking Federation is the voice of the European banking sector, bringing together national banking associations from across Europe. The federation is committed to a thriving European economy that is underpinned by a stable, secure and inclusive financial ecosystem, and to a flourishing society where financing is available to fund the dreams of citizens, businesses and innovators everywhere. Website: www.ebf.eu

European Banking Federation