The interim report put forward by the President of the European Council in October 2012 advocates the creation of a budgetary organisation that would have borrowing capacities. The ensuing European budget would finance structural and competitiveness reforms implemented by the Member States to overcome the crisis.
“An integrated budgetary framework to ensure sound fiscal policy making at the national and European levels, encompassing coordination, joint decision-making, greater enforcement and commensurate steps towards common debt issuance. This framework could include also different forms of fiscal solidarity.” Source: HvR June 2012 Report