Introductory Remarks by Iris Bethge-Krauß, CEO

Ladies and Gentlemen,

In Europe and the world, we are increasingly facing crises. On the global stage, numerous international flashpoints are fueling our concerns in a manner unprecedented since the end of the Cold War. At the same time, climate protection presents us with enormous challenges, while the effects of climate change become increasingly noticeable.
We are currently witnessing how our world order is being readjusted: The rise of authoritarian forces worldwide is a cause for concern. All eyes are on this year's elections in the United States, but we are also seeing the rise of populist and extremist movements in Europe and Germany. We view their attacks on our liberal democratic order, combined with anti-European rhetoric and efforts to nationalize supply chains, with great concern.
In a world in which rival geopolitical blocs are emerging and in which national strengths are becoming more important than international cooperation, these developments also call into question the sovereignty of the European Union. We must respond to this in a wide variety of areas.
The European Union will have to position itself more independently in terms of defense policy in the future. Another EU enlargement is planned to support our partners on Europe's external borders and protect them against Russian aggression. However, the multiple crises and increased uncertainty are not only making themselves felt geopolitically and in the social climate. They also manifest in a clouded business and investment climate and are already leaving their economic marks on the European Union. Particularly in Germany, we are experiencing economic weakness and are already in a recession.
With its common set of values, the European Union has proven over the past decades to be a guarantor of our life in peace and freedom. But citizens also benefit directly in economic terms: with the European single market and the monetary union, the EU forms the foundation for our prosperity. No member state has benefited as much economically from European cooperation as the Federal Republic of Germany.
All these achievements must now be defended. This will only work if we continue to deepen European cooperation. Financing the transformation in Europe is an important prerequisite for this.
Public banks have already shown in the past that they can provide the right financing solutions and the necessary amounts of capital, particularly in times of great upheaval. However, the tasks are already so great that they cannot be managed without mobilizing private capital.
We need a strong financial and banking sector in the EU in order to ensure adequate financing for the transformation and safeguard Europe's competitiveness.

In the following pages, we outline the framework conditions that should be put in place to strengthen the financial sector:

• Reducing complexity by focusing on principles-based regulation;
• Deepening of the Capital Markets Union, including through the revival of securitization markets;
• Easier access to European funds and subsidies;
• Reviewing the existing sustainable finance framework and the introduction of a voluntary framework for social investments;
• A needs- and market-oriented design of digital ecosystems.

I hope you enjoy reading the following pages and wish us all an election outcome that strengthens our democracy.

Yours sincerely,
Iris Bethge-Krauß