Some evidence attributes the slowdown to greater dispersion of productivity between frontier and laggard firms, capital misallocation and lower business dynamism. 3/4  BIS central bankers' speeches  Similarly, in addition to a healthy banking sector, well-functioning, diversified and deeply integrated EU capital markets can contribute to boost growth.
This is why the ECB has been a strong supporter of the capital markets union project since its inception. By diversifying the funding sources of European non-financial corporations, thereby enhancing the smooth transmission of monetary policy, the capital markets union is an essential complement to the banking union.