21 June 2013

ECOFIN Council: Country-specific recommendations on economic and fiscal policies

The Council also approved a specific draft recommendation on the economic policies of the euro area Member States, and draft conclusions on Croatia (which will join the EU on 1 July).

The European Council in March endorsed priorities under this year's European Semester. Given the stagnation of economic activity forecast for 2013 and the unacceptably high levels of unemployment, it emphasised the need to accelerate efforts to support growth as a matter of priority whilst pursuing growth-friendly fiscal consolidation.

The texts approved today will be forwarded to the General Affairs Council on 25 June, with a view to the European Council meeting on 27 and 28 June. Recommendations covering both economic and employment policies are due to be adopted in July.

In accordance with rules introduced in 2011 under the "six-pack" of economic governance legislation (specifically regulation 1175/2011), the Council is expected to comply with the Commission's recommendations and proposals or explain its position publicly. Its explanations will also be issued in July.

The European Semester involves simultaneous monitoring by the Commission of the Member States' economic and fiscal policies during a six-month period every year. In the light of policy guidance from the European Council in March, the Member States present their national reform programmes and stability/convergence programmes annually in April.

The national reform programmes contain a macro-economic scenario for the medium term, national targets for implementing the "Europe 2020" strategy for jobs and growth, identification of the main obstacles to growth, and measures for concentrating growth-enhancing initiatives in the short term.

The stability and convergence programmes set out medium-term budgetary objectives, the main assumptions about expected economic developments, a description of fiscal and economic policy measures, and an analysis of how changes in assumptions will affect fiscal and debt positions.

Press release including links to all recommendations and conclusions to 23 MS

Full results

See also following Council decisions on Excessive Deficit Procedures:

• Council steps up excessive deficit procedure for Belgium
• Council reopens excessive deficit procedure for Malta
• Council closes excessive deficit procedures for Italy, Latvia, Lithuania, Hungary and Romania
• Excessive deficit procedure: Council extends deadlines for Spain, France, Netherlands, Poland, Portugal and Slovenia

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