The European Union may find it harder to revive its rate of capital accumulation after the recent terrorist attacks on Paris, the governor of the Bank of Italy told an audience in the French capital on November 19. The attacks had lowered confidence and raised uncertainty, making a revival in capital growth rates potentially more difficult, Ignazio Visco said.

While the proposed short-term actions in the capital markets union (CMU) reforms were steps "in the right direction", the longer-term