The challenge of finance in the euro zone

Finance (in the broad sense: transformation of savings into financing of investments) in the euro zone is currently faced with the following problems : Savers want to have liquid and risk-free savings, and this will be amplified by population ageing; While investments are becoming riskier, given the financing of energy transition, start-ups and industries of the future. So what are the suitable forms of financing? Banks are designed to have risk-free liabilities and risky assets, with significant equity and liquidity buffers and deposit insurance. We can then be concerned about the weakening of euro-zone banks and , as a result , the euro zone ’s gradual shift towards disintermediated financing in financial markets; Corporate financing via listed shares generates excessive risk for savers given the variability of share prices, which has driven companies towards unlisted financing ( via private equity in particular).