While London remains the top European financial center, Brexit has put pressure on this status. This has created opportunities for other European financial centers, but the question remains: do they have the capacity and ability to act and gain traction?
Today, the Autorité des Marchés Financiers (AMF) has outlined its ambitions for 2024, and the “objective of being a demanding regulator that is attentive to the attractiveness of the Paris financial center” is at the top of the list.
Speaking at a press event earlier today, the Chairwoman of the AMF, Marie-Anne Barbat-Layani, explained:
“Being a powerful, attractive, honest, useful, and well-regulated financial centre is one of our country’s great strengths. To meet the needs of our economy, our fellow citizens, our businesses, and the dual transition to digital technology and energy, Europe’s leading financial centre must be dynamic, innovative, responsible, and exemplary. The AMF will help to achieve this.”
There are two projects that are expected to “undergird the AMF’s work in 2024” at both the national and European levels.
- At the national level, the AMF will work towards enhancing the attractiveness of the Paris financial center as part of the discussions announced by Bruno Le Maire, Minister for the Economy, Finance and Industrial and Digital Sovereignty. In addition, as the revised ELTIF regulation on long-term investment funds came into force on 10 January, the AMF is committed to strict application of legislation, without excessive transposition, to make Paris an attractive place for these funds.
- At the European level, the AMF will be a driving force behind proposals to relaunch the Capital Markets Union (Union des marchés de capitaux). In particular, it will support the mission entrusted by Bruno Le Maire to Christian Noyer, Honorary Governor of the Banque de France.
The AMF highlights that it is “open to innovation,” perhaps best exemplified by its bespoke regulation in the crypto sector, which has recently garnered some big wins with Circle and Gemini being approved as digital asset service providers.
The AMF states:
“In addition to identifying new challenges in terms of innovation and continuing work on artificial intelligence, particularly in terms of financial stability, the AMF will roll out a plan for the transition towards the more stringent MiCA European authorisation for digital asset service providers (DASPs) and will contribute to discussions on the regulation of global platforms (MiCA2).”
Other priorities are more routine, including rigorous investor protection and a goal of sustainable finance.
The AMF Action Plan and Priorities for 2024 are available here.
