.A register the outside of a BNP Paribas SA banking company branch in Paris, France, on Friday, Aug. 2, 2024. Bloomberg|Bloomberg|Getty ImagesFrance's BNP Paribas on Thursday said there are just too many European financial institutions for the region to be capable to take on rivals from the USA and also Asia, requiring the development of additional organic heavyweight banking champions.Speaking to CNBC's Charlotte Reed at the Banking Company of United States Financials CEO Event, BNP Paribas Chief Financial Policeman Lars Machenil voiced his help for more significant integration in Europe's banking sector.His remarks come as Italy's UniCredit ups the ante on its noticeable takeover try of Germany's Commerzbank, while Spain's BBVAu00c2 continues to proactively pursue its domestic competitor, u00c2 Banco Sabadell." If I will inquire you, the amount of financial institutions exist in Europe, your right solution would be a lot of," Machenil mentioned." If our team are extremely ragged in activity, for that reason the competitors is certainly not the exact same trait as what you might observe in various other regions. Thus ... you primarily should acquire that loan consolidation and also get that going," he added.Milan-based UniCredit has ratcheted up the tension on Frankfurt-based Commerzbank in latest weeks as it looks for to become the largest entrepreneur in Germany's second-largest lender with a 21% stake.UniCredit, which took a 9% stakeu00c2 in Commerzbank previously this month, appears to have actually captured German authorities off guard along with the prospective multibillion-euro merger.German Chancellor Olaf Scholz, who has actually formerly required greater combination in Europe's banking market, is strongly resisted to the evident takeover effort. Scholz has actually reportedly explained UniCredit's relocation as an "antagonistic" and also "unfavorable" attack.Germany's setting on UniCredit's swoop has caused some to accuse Berlin of favoring European banking assimilation just on its own terms.Domestic consolidationBNP Paribas's Machenil stated that while domestic loan consolidation would aid to support anxiety in Europe's banking setting, cross-border assimilation was actually "still a little more away," pointing out differing devices and products.Asked whether this implied he thought cross-border financial mergings in Europe appeared to something of a strange fact, Machenil replied: "It's two various things."" I assume the ones which remain in a nation, economically, they make sense, and they should, financially, happen," he proceeded. "When you check out truly ratty perimeter. Therefore, a banking company that is located in one country merely and located in an additional country only, that economically does not make good sense considering that there are actually no synergies." Previously in the year, Spanish financial institution BBVA shocked marketsu00c2 when it introduced an all-share requisition provide for domestic competing Banco Sabadell.The head of Banco Sabadell claimed earlier this month that it is actually extremely extremely unlikely BBVA will certainly prosper with its own multi-billion-euro dangerous quote, Reuters reported.u00c2 And also as yet, BBVA CEO Onur Genu00c3 u00a7 said to CNBC on Wednesday that the requisition was actually "relocating depending on to planning." Spanish authorities, which have the electrical power to block any type of merging or achievement of a financial institution, have actually articulated their opposition to BBVA's aggressive takeover proposal, presenting likely damaging impacts on the region's monetary unit.