The European Commission proposes new economic governance rules in the European Union states

“The European Commission presented today legislative proposals for the implementation of the most extensive reform in terms of economic governance in the European Union after addressing the effects of the economic and financial crisis. The central objective of the proposals is to strengthen the sustainability of public debts and promote sustainable and inclusive growth in all member states , through reforms and investments”, announces the European Commission, according to a statement posted on its website and viewed by the MEDIAFAX agency.

The European Commission emphasizes that the legislative proposals address “the shortcomings of the current regulatory framework”. “The need to reduce public debt levels, which have grown a lot, is taken into account, based on the lessons learned from the EU’s political reaction to the Covid-19 crisis, in order to prepare the European Union for future challenges, by supporting progress towards a green, digital economy, integrated and resilient, as well as to make the European Union more competitive”, states the European Commission.

“The new regulations will facilitate the necessary reforms and investments and help reduce the public debt burden in a realistic, gradual and sustained way, in line with President Ursula von der Leyen’s 2022 State of the Union address. The reforms will make economic governance simpler , will improve the holding of assets at the national level, will put a greater emphasis on the medium term and will strengthen the application of the rules through a transparent common framework at the EU level”, the European Commission emphasizes. The central element of the European Commission’s proposals aims at the development of “national plans at the medium-term fiscal-structural level”. The EU states will have to present fiscal targets and measures to address macroeconomic imbalances, applying priority plans for reforms and investments for periods of at least four years. The member states’ plans will be evaluated by the European Commission and will have to be approved by the EU Council, based on the classic criteria of the European Union.