I will also show that the advent of the euro has given further impetus to such financial linkages, which now also increasingly include capital flows to and from key emerging market economies.
The regional perspective Implications of European financial integration for economic growth Financial integration is of key importance for the European Central Bank (ECB), given its relevance for the conduct of the single monetary policy: a well-integrated financial system enhances the smooth and effective transmission of monetary policy impulses throughout the euro area.