However, while it is true that the financial system in the euro area is still more oriented towards the banking industry, bond and equity markets have already begun to play a bigger role. There is also reason to believe that the presumed dominance of bank loans has been exaggerated and the degree of equity financing correspondingly underestimated.
Jens Weidmann: Sound public finances for a stable monetary union Speech by Dr Jens Weidmann, President of the Deutsche Bundesbank, at the Institute for Law and Finance, Frankfurt am Main, 12 December 2012. * 1. *  *  Introduction  Professor Baums Ladies and gentlemen Thank you very much for your invitation.