What must EU member states do with FSAP directives?

EU member states are required to implement and transpose Financial Services Action Plan (FSAP) directives into their national law to ensure that the objectives and provisions outlined in these directives are effectively integrated into each country's legal framework. This process involves legislators in the member states creating new laws or modifying existing ones to align with the directives, which are legally binding on the countries.

By doing so, member states contribute to the harmonization of financial services regulations across the EU, promoting a unified market and ensuring that all member countries adhere to the same standards in financial services. This creates a level playing field for businesses and enhances the stability and integrity of the financial market within the EU.

The other options do not accurately reflect the legal obligations of member states concerning FSAP directives. Ignoring directives, treating them as mere suggestions, or implementing only regulations diminish the significance and intent of the EU legislative process aimed at creating a cohesive financial regulatory framework. Member states have a duty to ensure that directives are given effect in their national law, thereby not only complying with EU obligations but also enhancing the overall function of the EU market.