Directorate-General for Financial Stability, Financial Services and Capital Markets Union

{{Politics of the European Union}} The '''Directorate-General for Financial Stability, Financial Services and Capital Markets Union''' ('''DG FISMA''') is a [[Directorate-General]] (DG) of the [[European Commission]].<ref name=dg /><ref>{{cite web |title=EC Directorate-General for Financial Stability, Financial Services and Capital Markets Union |url=https://euagenda.eu/organisers/EC-DG-FISMa |access-date=6 December 2025 |website=EU Agenda |publisher=EU Agenda}}</ref><ref name=":0">{{cite web |title=Directorate-General for Financial Stability, Financial Services and Capital Markets Union (FISMA) |url=https://op.europa.eu/en/web/who-is-who/organization/-/organization/FISMA/FISMA |access-date=6 December 2025 |website=Who is Who |publisher=European Union}}</ref> It is one of the thirty three DGs created and named to reflect their functions.<ref name=":0" />

== Area of competence == The main responsibilities of the Directorate-General FISMA include initiating and implementing [[Policy measures of the European Union|EU policy]] in the areas of banking and finance, including the [[Capital Markets Union]],<ref>European Commission, [https://ec.europa.eu/info/business-economy-euro/growth-and-investment/capital-markets-union/what-capital-markets-union_en Overview of the Capital Markets Union], accessed 9 May 2018</ref><ref>Treaty on the Functioning of the European Union, Article 63(1), Article 114(1), and Article 53(1) (7 June 2016).</ref> and corporate reporting and auditing.<ref>European Commission, [https://ec.europa.eu/info/departments/financial-stability-financial-services-and-capital-markets-union_en#responsibilities], accessed 12 Aug 2020</ref>

After the [[2008 financial crisis]], the EU responded with a series of reforms to ensure financial market stability and to enhance the supervision of financial markets.<ref>The EU established a multi-layered financial supervision structure, the [[European System of Financial Supervision]] (ESFS), which uses both micro-prudential bodies (the three European Supervisory Authorities: [[European Banking Authority|EBA]]; [[European Securities and Markets Authority|ESMA]], [[European Insurance and Occupational Pensions Authority|EIOPA]]) and a macro-prudential body ([[European Systemic Risk Board|ESRB]]) alongside the Banking Union's [[Single Resolution Mechanism|SSM]] and SRM to monitor and stabilize the financial system.

The EU implemented the Single Rulebook—a comprehensive legislative array including [[Capital Requirements Directives|CRD IV]]/[[Capital Requirements Regulation 2013|CRR]] to raise bank capital and liquidity, BRRD to mandate "bail-in" for failed banks, and [[Markets in Financial Instruments Directive 2014|MiFID II]], [[European Market Infrastructure Regulation|EMIR]], [[Alternative Investment Fund Managers Directive 2011|AIFMD]], and [[Credit rating|CRA]]R to significantly enhance market transparency, integrity, and regulatory oversight across all financial products and actors.</ref>

The operational role of DG FISMA is to ensure that EU legislation is fully implemented, to monitor the effectiveness of these reforms and to respond to any further [[financial risk]]s that may become apparent.<ref>{{Cite web |title=Financial Stability, Financial Services and Capital Markets Union |url=https://commission.europa.eu/about/departments-and-executive-agencies/financial-stability-financial-services-and-capital-markets-union_en |access-date=6 December 2025 |website=European Commission |publisher=European Union}}</ref><ref>{{Cite web |title=Mission statement |url=https://finance.ec.europa.eu/mission-statement_en?prefLang=de |access-date=6 December 2025 |website=European Commission – Directorate-General for Financial Stability, Financial Services and Capital Markets Union (FISMA) |publisher=European Union}}</ref>

== Responsibilities == The mission of DG FISMA (Directorate-General for Financial Stability, Financial Services and Capital Markets Union) is to ensure the stability of the EU financial system, safeguard the interests of savers and investors, combat financial crime, and facilitate accessible capital flow for both businesses and consumers throughout the European Union.<ref name=":1">{{cite web |title=Strategic Plans 2020-2024: Financial Stability, Financial Services and Capital Markets Union |url=https://commission.europa.eu/publications/strategic-plans-2020-2024-financial-stability-financial-services-and-capital-markets-union_en |access-date=6 December 2025 |website=European Commission |publisher=European Union}}</ref>

=== Cooperation, Supervision, and Enforcement === The Directorate-General for Financial Stability, Financial Services and Capital Markets Union (DG FISMA) achieves its objectives through a combination of legislative and non-legislative tools, fundamentally relying on the [[Treaty on the Functioning of the European Union|TFEU]] articles (e.g., 49, 56, 63, and 114) to develop and enforce a common regulatory framework—known as the [[European banking union|Single Rulebook]]—for the EU financial system. This legislative work occurs across Level 1 ([[Regulation (European Union)|regulations]] and [[Directive (European Union)|directives]]) and Level 2 (detailed delegated/[[Primary and secondary legislation|implementing acts]]), often prepared in close collaboration with the three [[European System of Financial Supervision|European Supervisory Authorities]] (ESAs). Furthermore, DG FISMA ensures the correct transposition and application of EU law by Member States, monitors risks in cooperation with bodies like the [[European Banking Supervision|SSM]] and [[European Systemic Risk Board|ESRB]], and plays a critical role in the international financial regulatory agenda ([[G20]], [[Financial Stability Board|FSB]]) and the design and [[supervision]] of [[European Union sanctions|EU sanctions]].<ref name=":1" />

=== Strategy === DG FISMA's core strategy for the 2020-2024 period was centred on six key objectives:<ref name=":1" />

# Market Integration: DG FISMA aims to complete the [[Capital Markets Union]] (CMU) through targeted actions to further integrate EU financial markets, enhancing liquidity and opening up vital cross-border funding and investment opportunities for businesses, particularly SMEs, and citizens. # [[Financial Stability Board|Financial Stability]] & Crime: The Directorate seeks to reinforce financial stability by completing the Banking Union and implementing the final Basel Standards, while simultaneously implementing a comprehensive Action Plan to strengthen supervision and enforcement against money laundering and the financing of terrorism. # [[Consumer protection|Consumer Protection]]: DG FISMA is committed to enhancing confidence and protection for retail investors and consumers by developing a Retail Investment Strategy, reviewing directives on payments and credit, and exploring a minimum harmonised framework for insurance guarantee schemes. # [[Sustainable finance|Sustainable Finance]]: To support the European Green Deal, DG FISMA will mobilize private capital for sustainable investments by developing EU standards and labels (like the Green Bond Standard and the EU Taxonomy) and revising corporate reporting requirements to drive the transition to a low-carbon economy. # [[Digitization|Digitalisation]]: Recognizing the accelerated digital transformation, DG FISMA will propose a Digital Finance Strategy to ensure the EU financial services framework is competitive, inclusive, and robust against cyber risks, including a legislative proposal for the sector’s digital operational resilience. # Global Sovereignty: The strategy seeks to strengthen the EU's financial system's sovereignty and competitiveness by promoting the international role of the Euro, enhancing the resilience of financial infrastructure against third-country sanctions, and ensuring consistent enforcement of EU sanctions across Member States.

=== Key performance indicators === DG FISMA's key performance indicators (KPIs) for the 2020-2024 period primarily targeted increasing financial integration (decreasing home bias and increasing cross-border banking assets), maintaining financial stability (keeping systemic stress and bank capitalisation stable while reducing MREL shortfalls), enhancing market access and protection (increasing IPOs and retail investment while decreasing fund costs), scaling up sustainable investment (increasing green bond issuance and Taxonomy alignment), boosting digital uptake (increasing non-MFI payments and IT spending on innovation while decreasing cyber risk), and strengthening the international role of the Euro and sanctions enforcement.<ref name=":1" />

==Organisation== According to its latest [[organogram]], the DG FISMA is organized into five directorates:<ref>European Commission, [https://commission.europa.eu/document/download/41bb4b1f-b4ff-45e1-a490-91cb49dcf6e0_en?filename=241001-organisation-chart-dg-fisma_en.pdf DG FISMA Organisation Chart dated 1 October 2024, English], accessed on 29 November 2024</ref>

*FISMA A - General affairs<ref>The Directorate FISMA A (General Affairs) is responsible for the overall [[Strategy|strategic]] direction and coordination of the Directorate-General, encompassing policy [[definition]] and coordination, [[planning]] and [[implementation]] of policies, managing inter-institutional relations with EU bodies, overseeing communication and document management, handling [[International relations|international affairs]], and conducting [[Economics|economic analysis]] and [[evaluation]] of [[Financial services|financial sector]] policies</ref> *FISMA B - Horizontal policies<ref>The Directorate FISMA B (Horizontal policies) is responsible for cross-cutting policy areas, including the [[Sustainable finance#Research and academic education|Sustainable Finance]] strategy, developing rules for Retail Financial Services and [[Payment|Payments]], driving the Savings and Investments Union Coordination, and advancing Digital Finance initiatives.</ref> *FISMA C - [[Financial market|Financial markets]]<ref>The Directorate FISMA C (Financial Markets) is responsible for regulating and overseeing large-scale European financial markets, including policy and enforcement related to Securities Markets, Financial Markets Infrastructure, Asset Management, and ensuring integrity in Corporate Reporting, Audit & Credit Rating Agencies.</ref> *FISMA D - Banking, insurance and [[financial crime]]<ref>The Directorate FISMA D ([[Bank|Banking]], [[Insurance]] & [[Financial crime|Financial Crime]]) is responsible for handling the supervision and regulation of the [[European banking union|Banking Union]] (including Resolution & [[Deposit insurance|Deposit Insurance]]), developing legislation for the Insurance & Pensions sectors, and coordinating EU efforts against Financial Crime and the setup of the [[Anti-Money Laundering Authority]] (AMLA).</ref> *FISMA E - Financial stability, sanctions and enforcement<ref>The Directorate FISMA E (Financial Sector Stability and Security, Enforcement and Sanctions) is responsible for safeguarding the Financial Sector Stability of the EU, monitoring [[Microfinance|Macro-Finance]] and [[Macroprudential regulation|Macroprudential]] Policy, enforcing the application of EU law related to the [[European single market#Capital|Free Movement of Capital]], and managing the implementation of Sanctions and policies related to Economic Security in [[Financial services|Financial Services]].</ref>

In the current legislature period (2019-2024) DG FISMA focuses on the achievement of one of the six top European Commission's political priorities, namely "An economy that works for people".<ref>European Commission, [https://ec.europa.eu/info/departments/financial-stability-financial-services-and-capital-markets-union/mission-statement-financial-stability-financial-services-and-capital-markets-union_en European Commission, DG FISMA Mission Statement], accessed 12 Aug 2020</ref>

==Personnel== [[Maria Luís Albuquerque]] has been the EU Commissioner for this area since July 2024;<ref>{{Cite web |date=1 December 2024 |title=Von der Leyen Commission 2024-2029 |url=https://commission.europa.eu/about/commission-2024-2029_en |access-date=6 December 2025 |website=European Commission |publisher=European Union}}</ref> John Berrigan is the Director-General and he manages DG FISMA. [[David O'Sullivan (civil servant)|David O'Sullivan]], the EU's [[EU sanctions|Sanctions]] Envoy,<ref>European Commission, [https://commission.europa.eu/persons/david-osullivan_en EU Sanctions Envoy David O’Sullivan], accessed on 29 November 2024</ref> is based within this DG.<ref name=dg>European Commission, [https://commission.europa.eu/about-european-commission/departments-and-executive-agencies/financial-stability-financial-services-and-capital-markets-union_en Financial Stability, Financial Services and Capital Markets Union], accessed on 29 November 2024</ref>

In 2024 the DG had 375 employees.<ref>{{Cite web |date=23 April 2025 |title=Key figures on European Commission staff |url=https://commission.europa.eu/publications/key-figures-european-commission-staff_en |access-date=6 December 2025 |website=European Commission |publisher=European Union}}</ref><ref>{{Cite web |title=Organisation |url=https://commission.europa.eu/about/organisation_en |access-date=6 December 2025 |website=European Commission |publisher=European Union}}</ref>

==See also== *[[European Commissioner for Financial Stability, Financial Services and the Capital Markets Union]] *[[Capital Markets Union]] *[[European Coal and Steel Community]] (EGKS) *[[Treaty of Rome]] *[[Single European Act]] *[[World Trade Organization]] (WTO)

==References== {{reflist}}

==External links== *[https://ec.europa.eu/info/departments/financial-stability-financial-services-and-capital-markets-union_en DG Financial Stability, Financial Services and Capital Markets Union]

{{DEFAULTSORT:Directorate-General for Financial Stability, Financial Services and Capital Markets Union}} [[Category:Capital markets of Europe]] [[Category:Directorates-General in the European Commission|Internal Market and Services]] [[Category:European Union financial market policy]]