Remarks by EC President, Herman Van Rompuy, following the meeting with Prime Minister of Denmark, Helle Thorning-Schmidt
11 May 2012
President Van Rompuy and Prime Minister Thorning-Schmidt share the view that combining fiscal consolidation, financial stability, structural reforms and an active growth agenda is a political priority for Europe today.
President Van Rompuy said he sees four main conditions for boosting growth which will be on the agenda over the coming months:
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"The first condition for sustainable growth in Europe is to keep up with structural reforms and smart fiscal consolidation. Reforms, such as the ones Denmark is currently undertaking. They are needed to safeguard the future of our economies and citizens.
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The second condition for lasting growth is using more the full potential of our European policies in favour of growth. In this context I welcome the work of the Danish presidency on the single market, important files such as the Energy Efficiency Directive, and its efforts to bring the European patent to an end.
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Thirdly, the question of financing of our economy and investments is crucial. The European tool exists already: the European Investment Bank. We need to make sure that our European bank can continue to finance as many good investments over the next few years as it has done in the recent past. A €10 billion increase in its capital, for instance, would allow the Bank to increase lending by €60 billion over the next three years, and to leverage investments up to €180 billion.
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Last but not least, another key tool to revive growth in Europe by helping it be more competitive will be the future modernised EU budget. As compared to Member States' wealth, it is relatively small, but nonetheless it can stimulate thousands of investments be it in research, in industry, infrastructure or people. We will start discussing in detail the budgetary framework 2014-2020 at the June European Council with the aim to have it agreed before the end of the year. These are the avenues we discussed today in view of the meeting of the European leaders in May and which should lead to a comprehensive European growth and investment pact in this year.
We also discussed the latest financial and political developments in the eurozone, and particularly Greece. I am very concerned about the situation in Greece. This is a defining moment for the country. I appeal to the sense of national responsibility of all political leaders to reach an agreement respecting the country's engagement and ensuring its European future.
Before I conclude, I would like to take this opportunity to welcome the decisions taken today by the Spanish government regarding the banking sector. They represent an important step in the effort to reinforce the banking sector and to raise confidence."
© European Council
