Published by Global Banking and Finance Review
Posted on January 3, 2026
Published by Global Banking and Finance Review
Posted on January 3, 2026
FRANKFURT, Jan 3 (Reuters) - Germany's conservative Christian Social Union (CSU), sister party to Friedrich Merz's CDU, on Saturday said it will help push ahead with the Chancellor's call for a single European stock exchange to support European listings and economic growth.
"We support the strengthening of European capital markets and a European bourse in order to keep successful German companies in the country," said a draft internal CSU paper, that was obtained by Reuters.
"We intend to take on a clear leadership role in this process and ensure that the headquarters of a European bourse are located in the European Union's biggest economy, Germany," said the paper.
It was issued ahead of three-day party meetings starting on Tuesday in the Bavarian town of Seeon.
Merz first presented the plan in October saying it would strengthen Europe as a business location.
Among backers of a unified market for capital inside the EU are European Central Bank President Christine Lagarde, German finance minister Lars Klingbeil and Bundesbank president Joachim Nagel.
Fragmented markets with different exchanges under different rule-books and supervision set the EU at a disadvantage vis-a-vis the United States with its powerful New York Stock Exchange, say backers of the plan.
European exchanges say that initial public offerings in Europe are held back by reduced local liquidity pools.
(Reporting by Joern Poltz, writing by Vera Eckert, editing by Kirsten Donovan)
A stock exchange is a marketplace where securities, such as stocks and bonds, are bought and sold. It provides a platform for companies to raise capital by listing their shares for public trading.
An initial public offering (IPO) is the process through which a private company offers its shares to the public for the first time. This allows the company to raise capital from public investors.
Liquidity refers to how easily assets can be converted into cash without significantly affecting their price. High liquidity means assets can be quickly bought or sold in the market.
The European Central Bank (ECB) is responsible for managing the euro and formulating monetary policy for the Eurozone. It aims to maintain price stability and oversee the banking system within its jurisdiction.
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