Today the European Commission released proposals to reform and regulate derivatives, short selling and Credit Default Swaps.
European Conservatives and Reformists group economics spokesman in the European Parliament, and British MEP, Kay Swinburne commented:
"These proposals should be welcomed as they will provide greater transparency which will help make the financial markets safer and more stable."
"Most importantly, the commission has recognised the purposes these derivative products serve for businesses across Europe, and provided proportionate exemptions.
"UK businesses are active users of derivative products, from the large global companies to smaller family owned businesses. We need to work collectively to ensure that future EU regulation does not prevent companies from managing their underlying business risks.
"Hedging for business purposes diminishes real risk in the economy and should be encouraged, not prevented, or made costly as a result of the recent financial crisis."
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