French Market Regulator Proposes ESMA Reforms

French market regulator Autorité des marchés financiers (AMF) has proposed three changes to European Securities and Markets Authority (ESMA) decision making.

In its response to a European Commission consultation on the operations of the European Supervisory Authorities for banking (EBA), insurance (EIOPA) and financial markets (ESMA) the AMF has chosen to focus on the functioning and the powers of ESMA, as "the pillar of harmonised interpretation of European legislation and of a common culture of supervision in Europe", it said.

ESMA should extend the qualified-majority voting system for all important decisions on its board of directors, change the appointment procedure for the ESMA board of directors, and allow permanent members to sit on the management board alongside representatives of national authorities that sit on a rotating basis, the AMF said.