The financial system is the carrier of economic growth and development of every country. The financial system cannot be analyzed well, if it is not observed as a part of a larger system, as a whole economy. A bank-based financial system is a system in which banks are the most important source of funding and perform the function of transferring and allocating funds, while in a market-based financial system, banks are not the most important source of funding, and it is characterized by a variety of funding options provided by nonbank institutions and capital markets. The impact of a certain financial structure on economic growth is the subject of many economists' discussions, and no unified conclusion has been found in previous research. The European Union has a bank-based financial system, but there is a growing interest in considering and promoting the reduction of the importance of banks and encouraging funding through capital markets. Such a change would allow better access to capital for enterprises which should lead to economic growth. In addition, it can lead to greater financial stability, since the risk is spread over a larger number of participants. In recent years, the financial structure of Europe has gone through significant changes with the trend of increased funding on the capital market. The 2008 crisis had a significant impact on the economy of the European Union, and the recovery of the member states was slow and uneven. Some of the key reasons for the slow recovery are the long and slow processes of bank restructuring and the low level of investment in the capital market. The slow recovery from the financial crisis in Europe was one of the main reasons for the creation of the Capital Markets Union initiative. The Capital Markets Union is a political and strategic initiative aimed at stimulating economic growth and reducing reliance on traditional banking and increasing the resilience of the financial system.