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Publishing Spring Economic Outlook 2019, BusinessEurope Director General Markus J. Beyrer said: “In particular, we urge ministers to agree on the details of the proposed euro area budgetary instrument for convergence and competitiveness. Such an instrument, which should be developed to combine a commitment to supporting structural reform, with a stabilisation function, whilst limiting moral hazard, could improve the resilience of the EU economy. We call on ministers to demonstrate clear progress on the completion of both, the banking and capital markets unions. In particular, it is important that a clear roadmap is published for the implementation of an EU deposit insurance scheme.”
According to BusinessEurope’s outlook, the recent downturn highlights the fragility of the EU economy:
Risks to the outlook remain on the downside, with the continuing possibility of a damaging, no-deal Brexit and the recent escalation of trade tensions, particularly between the USA and China. These are increasing concerns for EU businesses. BusinessEurope’s outlook also shows that uncertainty over tax levels is increasingly seen as a risk by business, and in turn a dampener on investment plans.