European banks seek growth via mergers amid pressure to compete with larger U.S. rivals.

European banks are under pressure to grow and compete with larger US banks, leading to increased mergers and acquisitions (M&A) activity. Despite record profits, European banks are smaller and face intensified competition, especially with US regulations expected to ease. This has spurred large bids and discussions in areas like alternative investments and FinTech, though deals face political and regulatory challenges. An expected ECB interest rate cut could also benefit these M&A efforts.

2 months ago
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