European Investment Bank, West Entrance, 100 Boulevard Konrad Adenauer, 2950 Luxembourg




Thursday, November 17, 2016

In cooperation with

The SUERF & EIB Annual Economics Conference will focus on the legacy of the financial crisis on corporate financing and the resulting challenge for the recovery and European competitiveness. In three panel sessions, speakers and participants will share their views on the factors that are holding down investment in Europe, the structural and post crisis challenges for the European financial sector, the impact of banking regulation and the capital market union, and analyse the nature of constraints for investment. The conference will also present an opportunity to discuss the preliminary results of the new unique survey on investment, run by the EIB.

This event will bring together high-level policymakers, economists and leading market players, to openly discuss one of the most pressing and challenging economic policy topics today and to help shape increased successful policy responses.



Thursday, 17 November 2016
Registration and Welcome Coffee
Welcome and Opening

Welcome Remarks

Urs W. Birchler, SUERF President and University of Zurich

Opening Remarks

Werner Hoyer, President, European Investment Bank (EIB)
Panel I: Investment in Europe - a matter of supply and demand

This session will discuss the factors that continue to hold down private and government investment in Europe. In most European countries investment has not yet rebounded to pre-crisis levels. Supply of finance in Europe may have played a role as European banks still reel from the banking and sovereign debt crises, and at the same time, debt and equity markets, as well as private equity, are small relative to the economy. Debt overhang in the private sector further constrains investment, as do other demand factors such as lower demand for goods and services and the uncertain economic outlook.

Investment and Investment Finance in Europe

Chair: Debora Revoltella, Chief Economist, European Investment Bank (EIB) presentation

Investment in Europe: Challenges and Policy Responses

Catherine L. Mann, Chief Economist, OECD presentation

Investment in Europe - a matter of supply and demand

Servaas Deroose, Deputy Director-General, DG ECFIN, European Commission presentation


Jeffrey Franks, Director Europe Office Paris and Brussels, International Monetary Fund (IMF) presentation
Coffee Break
Panel II: Efficiency of European financial sector in allocating finance

This session will discuss structural and post crisis challenges for the European financial sector. The discussion will distinguish among different segments of the financial sector, namely addressing the banking sector, the securities and the equity market. The debate will seek proof of evidence concerning fragmentation and / or efficient functioning of different markets over the crisis. What is the impact of QE thus far? What is the impact of banking regulation, including capital and liquidity requirements, on banks capacity to lend, in the short and in the long term? What is the impact of the banking union? What is the impact of capital market union? What additional factors have to be considered to allow a more effective reallocation of resources to more productive means?

Efficiency of European financial sector in allocating finance

Chair: Natacha Valla, Head of Policy and Strategy Division, European Investment Bank (EIB) presentation

Cross-border Financial Risk Sharing in the Euro Area

Philipp Hartmann, Deputy Director General, European Central Bank presentation
Mario Nava, DG Fisma, European Commission presentation
Boris Vujcic, Governor, National Bank of Croatia presentation
Reza Moghadam, Vice-Chairman for Global Capital Markets, Morgan Stanley
Panel III: Making European non-financial corporations more resilient - Lessons from the financial and sovereign debt crises

The financial crisis caused severe liquidity problems, especially for banks that were very dependent on wholesale funding. Falling asset prices and, in many countries, deteriorating credit portfolios put an additional strain on banks’ loan supply. Given the significant dependence of European non-financial corporations (NFC) on bank financing and the dearth of alternative financing options, many businesses were financially constrained in their operations. There is evidence that efficiency of capital allocation by European financial systems is hampered also in the post-crisis period. Moreover, fiscal treatment of debt versus equity might lead companies to sub-optimal financial structure.

Chair: Pedro de Lima, Head of Division, Economic Studies, European Investment Bank (EIB) presentation
Sebnem Kalemli-Özcan, Neil Moskowitz Endowed Professor of Economics, University of Maryland presentation
Gianmarco Ottaviano, Professor of Economics, LSE presentation
Reinhilde Veugelers, Professor, University of Leuven and Bruegel presentation
Eric Bartelsman, Professor, Vrije Universiteit presentation
Jan Svejnar, Professor, Columbia University
Closing Remarks
Andrew McDowell, Vice President, European Investment Bank (EIB)
End of Conference