The EU's Financial Services Action Plan (FSAP) was designed to open up a single market for financial services in the EU. Begun in 1999, it comprises 42 measures designed to harmonise the member states’ rules on securities, banking, insurance, mortgages, pensions and all other forms of financial transaction. By the end of 2004, almost all of these measures have been adopted.
Rules on capital requirements are designed to protect savers and investors from the risk of the failure or bankruptcy of banks. They ensure that these institutions hold a minimum amount of capital. The Capital Requirements Directives were adopted in 2006 and are currently under review.
