SGI Europe: Swift agreement on a bold EU economic governance must be a priority

Today (9th November 2022), the European Commission has presented a communication on the review of the economic governance, setting out the main orientations to make it fit for current and future challenges. With the pandemic and the ongoing economic crisis, SGI Europe believes that the time is right for swiftly agreeing on a new framework for the EU economic governance, balancing better investment needs and fiscal-structural consolidation.

Following the presentation of the communication, Valeria Ronzitti, SGI Europe General Secretary, commented:

“The proposal put forward is clearly a step in the right direction to answer the enormous investment needs, ramp up the EU’s resilience and ensure its autonomy in a tense geopolitical context. With Member States facing dramatically different realities, increasing the flexibility and ownership of their respective fiscal and budgetary trajectories will lead to more gradual, realistic and socially-acceptable reform programmes.”

“Stability and growth must go hand in hand. To that aim, the proposals to improve linkages between fiscal sustainability and reform programmes are welcomed. Simpler rules, more effectively implemented and enforced, will help Member States navigate the framework. It will also ensure an improved democratic control, with a structured interinstitutional approach in shaping and implementing long-term plans.”

“In light of the ongoing socio-economic crisis, we call on the European Commission and Council to adopt a bold approach on a new, ambitious, set of rules. Economic actors, including SGI enterprises, need stability to plan their long-term development plans.
The EU recovery will depend on the framework which will be put in place in the coming months. In the current window of opportunity, swift agreement on new rules to shape the future and ensure a just recovery is a necessity.”

(European Union, 2022; Source: EC - Audiovisual Service)