Finance Watch co-published a civil society briefing on how to ensure a reformed European economic governance framework supports the EU’s goals and helps tackling Europe’s multiple crises.
Europe faces serious economic, environmental and social challenges that require reforms and investment. But EU actions to tackle these challenges are constrained by Europe’s own economic governance framework, which has grown overly complex and out of date over the years. The Fiscal Matters coalition, a group of NGOs, unions and think tanks of which Finance Watch is part of, has reflected upon many elements of the European Commission’s orientation paper, and views it as a good starting point for the review.
The paper makes seven proposals on how to improve the European Commission proposal:
- QUALITY PLANS: Ensure the quality of national medium-term fiscal structural plans
- FUTURE GENERATIONS: Free future-oriented spending from arbitrary constraint
- DEBT SUSTAINABILITY: Improve the monitoring of debt sustainability
- CO-ORDINATING SUCCESS: Reform the European Semester to deliver on EU environmental, economic and social objectives
- MONITORING RISKS: Broaden and deepen the Macroeconomic Imbalance Procedure
- DEMOCRATIC OWNERSHIP: Increase national and democratic ownership
- GROWING STRONGER: Establish European fiscal capacities