15. Free movement of capital

This chapter discusses EU law on the free movement of capital. It first considers the development of the current rules on capital, focusing on their material scope, direct effect, and role in relation to third countries. It then explains how the concept of restrictions, which is a feature of all internal market freedoms, operates in relation to capital. Next, it deals with the power of Member States to limit capital flows between different parts of the Union, as well as into and out of the Union. Finally, it examines the effects of case law regarding capital movement in relation to philanthropic and charitable activities, in order to see how the free movement of capital affects the ability of Member States to design the instruments by which they organize the delivery of services they consider are in the public interest.