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The European Commission's proposals for a Capital Markets Union are a welcome and necessary step in promoting a sustainable economic recovery across the EU, according to the report Capital Markets Union: A Welcome Start ( HL 139). The Capital Markets Union will provide an opportunity to create a properly-functioning Single Market in capital by diversifying funding, and improving investment opportunities across the EU. The proposals aim to spread and mitigate risk throughout the financial system while at the same time tackling problematic regulatory and administrative barriers, and the deep-rooted cultural obstacles to growth that have held back economic recovery in the EU.