German Chancellor Friedrich Merz is calling for a pan-European stock exchange — a bold move he says is necessary to help European companies compete with giants in the U.S. and Asia.
Speaking to lawmakers in Berlin, Merz emphasized the need for a “broad and deep European capital market” to allow companies to finance themselves faster and more efficiently. He cited reports from former Italian prime ministers Mario Draghi and Enrico Letta, warning that Europe risks falling behind global rivals if it doesn’t take urgent steps to boost productivity.
Merz highlighted the example of BioNTech, the Mainz-based biotech company that chose to list in New York, calling it a sign of Europe’s fragmented financial landscape.
He told parliament, “It is crucial for the future of our countries in Europe that we fulfill these tasks with renewed vigor… it is about our prosperity and whether Europe will remain a player in the global economy or become a plaything of major economic centers in Asia and America.”
Merz argued that Europe’s current patchwork of stock exchanges hinders growth, particularly in the technology sector, making it harder for companies to access funding compared with their international rivals.
Since taking office in May, Merz has pledged to overhaul Germany’s economy, reduce bureaucratic red tape, and push the European Union to accelerate reforms aimed at improving competitiveness.
He warned that fundamental changes are needed, including ending what he called a “regulatory frenzy,” speeding up procedures, opening markets, and fostering innovation across the continent.
According to Merz, Europe can only close the gap with global economic powers by taking decisive action now. Draghi and Letta’s reports, he said, clearly show the EU is lagging behind in the rapidly evolving global economy.
Merz’s push for a unified European stock market is expected to feature prominently at next week’s European Union summit, where leaders will discuss economic reform, investment, and strategies to strengthen Europe’s place on the global stage.
Reporting by Noko David.
