Europe's Banks Are in `Dire Straits,' Folkerts-Landau Says

The video discusses the challenges faced by European banks compared to their American counterparts, highlighting issues such as negative interest rates and lack of a unified market. It emphasizes the role of financial intermediaries in the economy and the need for a unified banking system in Europe to improve profitability and efficiency. The completion of the banking and capital markets union is seen as crucial for overcoming these challenges.

How does the lack of a unified banking system affect cross-border lending in Europe?

What is necessary for the completion of the banking union in Europe?