GEAB 194
Europe has long benefited from a powerful economic engine: the household savings.
Built up over decades, this financial cushion, estimated at 35.5 trillion euros (against 14 trillion public debt), has served both as a buffer in times of crises and a vital source of funding for the major transformations ahead – the climate transition, reindustrialisation, defence, innovation, and more.
This “pactole“[1] as the French would say, is therefore the subject of numerous attempts to mobilise it. At European level, last November, Christine Lagarde was clear about strategy aimed at bringing together capital markets, mainly to channel savings towards innovators at European level as part of her “Kantian revolution”[2] (since then, Europe has voted 800 billion for armaments…).
At national level, tax incentives (even punitive for tying up capital) and ad hoc financial products are aimed at savings out of their wallets. The aim, of course, is for savers to boost their capital and grow richer at the same rate as the continent will grow richer if this funding is properly managed. Some key questions on this topic:
- Is the EU able to produce a vision accurate enough of its future to channel these savings correctly?
- Is it also well equipped to guarantee a return on investment for savers and no-one else?
- Finally, do Europeans have enough confidence in the European institutions to play the game?
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