On 3 June, the European Commission adopted its European semester spring package in the context of its economic governance framework.
In an environment marked by geopolitical turbulence, the package sets out policy guidance for Member States, with a particular focus on strengthening the EU’s competitiveness, strategic autonomy as well as its economic and social resilience and cohesion. It offers targeted advice to each Member State on their economic policies, including an extensive country report that provides a detailed analysis of the Member State’s economic and financial developments. It also offers draft country‑specific recommendations (CSRs) – to be endorsed by the Council. These targeted recommendations focus on persistent policy challenges which each EU Member State needs to address in order to boost competitiveness and sustainable growth, including in financial services.
The financial sector is very much in the spotlight this year – with a total of 36 recommendations to 23 member States. The package calls on Member States to take national measures to build the savings and investments union (SIU), the EU’s flagship initiative to improve the way the EU financial system helps channel private capital into productive investments that boost economic growth and competitiveness.
The Commission’s 2026 CSRs highlight three critical areas where national action is needed
- increasing the number of retail and institutional investors participating in capital markets
- strengthening the role of supplementary pension schemes
- and fostering venture capital, private equity, and growth financing
In the country reports published alongside the CSRs, the Commission takes stock of each Member State’s financial sector and underlines the main gaps to be addressed. Based on that assessment the Commission has proposed tailored recommendations for many Member States. A range of countries ‑ Austria, Belgium, Germany, Denmark, Greece, Estonia, Spain, Finland, France, Croatia, Ireland, the Netherlands and Portugal – are urged to improve access to venture and growth capital, while Austria, Czechia, Denmark, France, Ireland, Italy, the Netherlands and Slovenia, in the view of the Commission, should do more to encourage institutional investors’ participation in equity markets.
For Austria, Cyprus, Czechia, Germany, Malta, Luxembourg and Lithuania, the Commission recommends bolstering supplementary pensions – a dual opportunity to improve individuals’ living standards in their old age and channel long‑term savings into productive investment. Meanwhile, Portugal and Cyprus are called on to strengthen financial literacy, and Czechia, Denmark, France, Croatia, Luxembourg and Ireland to boost retail investor participation in financial markets.
The ball is now in the Member States’ court. They must agree on these recommendations and turn them into concrete action. But the Spring package is additional proof that the SIU will not be built from Brussels alone but is a joint effort between the EU and Member States. Member States should also take responsibility for building their own capital markets and complementing EU‑level reforms with national measures to ensure that the SIU delivers on its promise of a more resilient and competitive European economy.
Related links
European semester spring package
2026 European semester: Country pages (including country reports)
Savings and investments union
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