2023/2063(INI) | [ParlTrack]

Motion for a resolution
Citation 3 a (new)

– having regard to Protocol No 12 to the TEU and TFEU on the excessive deficit procedure,

Amendment 10 #

Motion for a resolution
Citation 16

~~– having regard to the Porto Social Commitment of 7 May 2021 of the Council, the Commission, Parliament and social partners,~~deleted

Amendment 100 #

Motion for a resolution
Paragraph 3 f (new)

3 f. Calls to complete the ratification of the revised European Stability Mechanism Treaty, allowing for the introduction of the common backstop to the Single Resolution Fund which would further strengthen the euro area's resilience;

Amendment 101 #

Motion for a resolution
Paragraph 3 g (new)

3 g. Acknowledges the decision to deactivate the general escape clause under the Stability and Growth Pact; reiterates that fiscal policy needs to support monetary policy in reducing inflation and safeguarding fiscal sustainability, while providing sufficient space for additional investments and supporting long-term growth;

Amendment 102 #

Motion for a resolution
Subheading 2

~~European Semester and Recovery and Resilience Facility (RRF)~~deleted

Amendment 103 #

Motion for a resolution
Paragraph 4

4. Recalls that the European Semester is the established framework ~~for coordinating the budgetary, economic, social and employment policies across the Union in acc~~to ensure closer coordination of economic policies and sustained convergence of the economic perfordmance ~~with the Tre~~s of the Member Staties, in~~cluding the European Pillar of Social Rights, thereby safeguarding its macroeconomic stability and its social cohes~~ accordance with Article 121 of the Treaty on the Functioning of the European Union;

Amendment 104 #

Motion for a resolution
Paragraph 4

4. Recalls that the original objective of the European Semester iwas the ~~established framework for~~ coordinati~~ng the~~on of budgetary, and economic~~, social and employment~~ policies across the Union ~~in accordance with the Treaties, including the European Pillar of Social Rights~~, thereby safeguarding its macroeconomic stability ~~and its social cohesion~~;

Amendment 105 #

Motion for a resolution
Paragraph 4

4. Recalls that the European Semester ~~is the~~ cycle is a well-established framework for EU Member States to coordinat~~ing~~e the ~~budgetary, economic, social and employment policies across the Union in accordance with the Treaties, including the European Pillar of Social Right~~ir fiscal, budgetary and economic structural policies, thereby safeguarding its macroeconomic stability ~~and its social cohesion~~;

Amendment 106 #

Motion for a resolution
Paragraph 4

4. Recalls that the European Semester is the established framework for coordinating the budgetary, and economic~~, social and employment~~ policies across the Union in accordance with the Treaties, ~~including the European Pillar of Social Rights,~~ thereby safeguarding its macroeconomic stability ~~and its social cohesion~~;

Amendment 107 #

Motion for a resolution
Paragraph 4

Amendment 108 #

Motion for a resolution
Paragraph 4

Amendment 109 #

Motion for a resolution
Paragraph 4

Amendment 11 #

Motion for a resolution
Citation 22 a (new)

– having regard to the Commission communication on ‘A Green Deal Industrial Plan for the Net-Zero Age’ of 1 February 2023 (COM(2023) 62 final),

Amendment 110 #

Motion for a resolution
Paragraph 4

4. Recalls that the European Semester is the established framework for coordinating the budgetary, economic, social and employment policies across the Union in accordance with the Treaties, including the European Pillar of Social Rights, thereby safeguarding its macroeconomic stability and its social cohesion; calls for higher uptake of environmental, social and resilience features in the European Semester but also stronger national ownership, particularly of Member States’ local and regional authorities;

Amendment 111 #

Motion for a resolution
Paragraph 4

4. Recalls that the European Semester is the established framework for coordinating the budgetary, economic, social, and employment policies across the Union in accordance with the Treaties, including the European Pillar of Social Rights, thereby safeguarding its macroeconomic stability and its social cohesion; notes that the 2023 Green Deal Industrial Plan is the EU’s growth strategy;

Amendment 112 #

Motion for a resolution
Paragraph 4 a (new)

4 a. Expresses its concerns that the EU economic governance framework as a whole is losing its original focus as over the years the European Semester has been overloaded by policies out of its original scope, leading to debates of non-economic nature.

Amendment 113 #

Motion for a resolution
Paragraph 5

5. Is concerned about the deterioration of the social dimension of the European Semester resulting from the self-limitation of country-specific recommendations (CSRs) to the implementation of national recovery and resilience plans (RRPs) and about the declining number of social CSRs based on the Social Scoreboard; calls on the Commission to link the CSRs more closely to the respective country reports;deleted

Amendment 114 #

Amendment 115 #

Motion for a resolution
Paragraph 5

Amendment 116 #

Motion for a resolution
Paragraph 5

Amendment 117 #

Motion for a resolution
Paragraph 5

Amendment 118 #

Motion for a resolution
Paragraph 5

5. ICalls concerned about the deterioration of the social dimension of the European Semester resulting from the self-limitation of country-specific recommendations (CSRs) to the implementation of national recovery and resilience plans (RRPs) and about the declining number of social CSRs based on the Social Scoreboard; calls on the Commission to link the CSRs more closely to the respective country the Commission to link the CSRs more closely to the respective country reports and to efficiently monitor the implementation of the CSRs and the relevant repfortms;

Amendment 119 #

Motion for a resolution
Paragraph 5

5. Is concerned about the deterioration of the ~~social~~reform dimension of the European Semester resulting from the ~~self-limi~~limited implementation of country-specific recommendations (CSRs) ~~to the implementation of national recovery and resilience plans (RRPs) and about the declining number of social CSRs based on the Social Scoreboard~~; calls on the Commission to link the CSRs more closely to the respective country reports;

Amendment 12 #

Motion for a resolution
Citation 26

~~– having regard to the proposal for a joint employment report from the Commission and the Council of 21 November 2022 (COM(2023)0904),~~deleted

Amendment 120 #

Motion for a resolution
Paragraph 6

6. Shares the view that the 2024 CSRs need to be focused on a limited set of challenges; underlines that CSRs must equally serve to enhance competitiveness, promote the ~~green and digital transitions and ensure social fairness; stresses that CSRs need to take account of social vulnerabilitie~~transition of the European economy and encourage fiscal prudence; takes into account that the differences regarding the national forecasts for GDP growth, inflation, unemployment, general government balance, gross public debt and current account balance demonstrate the need for flexible approaches which need to be based on the specific reality of each Member State; reiterates that country specific recommendations are the most important instrument to guarantee such an approach and calls on the Commission to link the CSRs more closely to the respective country reports; highlights that Member States must be committed to comply with such recommendations;

Amendment 121 #

Motion for a resolution
Paragraph 6

6. Shares the view that the 2024 CSRs need to be focused on a limited set of challenges; underlines that CSRs ~~must equally~~should serve to enhance competitiveness, and promote the green and digital transitions ~~and ensure social fairness; stresses that CSRs need to take account of social vulnerabilities~~;

Amendment 122 #

6. Shares the view that the 2024 CSRs need to be focused on a limited set of economic challenges; underlines that CSRs must equally serve to enhance competitiveness~~, promote the green and digital transitions and ensure social fairness; stresses that CSRs need to take account of social vulnerabilities~~ and a smooth functioning of the macro economy;

Amendment 123 #

Motion for a resolution
Paragraph 6

6. Shares the view that the 2024 CSRs need to be focused on a limited set of challenges; underlines that CSRs must ~~equally~~ serve to enhance competitiveness~~, promote the green and digital transitions and ensure social fairness; stresses that CSRs nee~~ and macroeconomic stability and to take account of social vulnerabilities;

Amendment 124 #

Motion for a resolution
Paragraph 6

Amendment 125 #

Motion for a resolution
Paragraph 6

6. Shares the view that the 2024 CSRs need to be focused on a limited set of challenges; underlines that CSRs must equally serve to enhance competitiveness~~, promote the green and digital transitions and ensure social fairness~~ and sound economic growth; stresses that CSRs need to take account of social vulnerabilities;

Amendment 126 #

Motion for a resolution
Paragraph 6

6. Shares the view that the 2024 CSRs need to be focused on ~~a limited set of challeng~~challenges related to economic and budgetary policies; underlines that CSRs ~~must equ~~shally serve to enhance competitiveness, promote the green and digital transitions and ensure social and intergenerational fairness; stresses that CSRs need to take account of social vulnerabilities;

Amendment 127 #

Motion for a resolution
Paragraph 6

6. Shares the view that the 2024 CSRs need to be focused on a limited set of challenges; underlines that CSRs must equally serve to enhance competitiveness, promote the green and digital transitions and ensure social fairness; stresses that CSRs need to take account of social vulnerabilities; calls in that regard for an efficient monitoring of the implementation of the country-specific recommendations and the relevant reforms as well as the progress on the reduction of the identified investment gaps;

Amendment 128 #

Motion for a resolution
Paragraph 6

6. Shares the view that the 2024 CSRs need to be focused on a limited set of challenges; underlines that CSRs must equally serve to ~~enhance competitiveness,~~ promote the green and digital transitions and ensure ~~social fairness; stresses that CSRs need to take account of social vulnerabilities;~~upward social convergence, address social vulnerabilities and end harmful tax practices.

Amendment 129 #

Motion for a resolution
Paragraph 6

6. Shares the view that the 2024 CSRs need to be focused on a limited set of challenges; underlines that CSRs must equally serve to enhance competitiveness, promote the green and digital transitions and ensure ~~social fairnes~~equal opportunities; stresses that CSRs need to take account of social vulnerabilities with a strong focus on unemployment ratio;

Amendment 13 #

Motion for a resolution
Citation 30 a (new)

– having regard to the Departmental Paper DP/2022/014 of the International Monetary Fund of September 2022 entitled ‘Reforming the EU Fiscal Framework: Strengthening the Fiscal Rules and Institutions’,

Amendment 130 #

Motion for a resolution
Paragraph 6 a (new)

6 a. At the same time, highlights the need for better focusing the country specific recommendations by remaining within the remit of EU competences and avoiding double standards. Emphasises the importance of pursuing genuine dialogue between the Commission and the Member States during the entire semester process. This is a pre-condition of ownership and better implementation.

Amendment 131 #

Motion for a resolution
Paragraph 6 a (new)

6 a. Suggests that the implementation of the CSRs shall become a relevant factor when the Commission is to draft the report under Article 126(3) TFEU;

Amendment 132 #

Motion for a resolution
Paragraph 7

Amendment 133 #

Motion for a resolution
Paragraph 7

Amendment 134 #

Motion for a resolution
Paragraph 7

7. Is concerned that the performance-based financing and verification system of the RRF delivers in practice too little in terms of results and creates too much bureaucracy; calls for more flexibility to adjust milestones and targets to take account of lessons learned during the implementation processStresses the importance of meeting the agreed upon milestones and targets before any subsequent reimbursement can take place;

Amendment 135 #

Motion for a resolution
Paragraph 7

7. Is concerned that the performance- based financing and verification system of the RRF delivers in practice too little in terms of results and creates too much bureaucracy; recalls ~~for more flexibil~~that Member State governments need to comply wityh t~~o adjust milestones and targets to take account of lessons learned during the implementation proces~~he RRF Regulation, the milestones and goals agreed with the Commission, as well as the timetable included in the Operational Agreements; stresses that strict compliance with the RRF Regulation is the only way to achieve full economic recovery and growth of our economies while granting legitimacy of this mechanism and EU bodies;

Amendment 136 #

Motion for a resolution
Paragraph 7

7. Is concerned that the performance- based financing and verification system of the RRF delivers in practice too little in terms of results and creates too much bureaucracy; recalls ~~for more flexibility to adjust milestones and targets to~~ that according to the European Court of Auditors, introduction of common result indicators would facilitakte ~~account of lessons learned during the implementation process;~~ better monitoring, measurement, evaluation and audit of the implementation of the RRF at EU level, and guide Member States in using their resources more effectively;1a _________________ 1a https://www.eca.europa.eu/ECAPublicatio ns/SR-2023-26/SR-2023-26_EN.pdf

Amendment 137 #

Motion for a resolution
Paragraph 7

7. ~~Is concerned that the performance-based financing and verification system of the RRF delivers in practice too little in terms of results and creates too much bureaucracy; c~~Calls for more flexibility to adjust milestones and targets to take account of lessons learned during the implementation process;

Amendment 138 #

Motion for a resolution
Paragraph 7

7. Is concerned that the performance- based financing and verification system of the RRF delivers in practice too little in terms of results and creates too much bureaucracy; calls for more flexibility to adjust milestones and targets to take account of lessons learned during the implementation process; stresses the importance that reforms and investments under the Recovery and Resilience Plans meet the climate targets of the regulation and are in full respect of the “do no significant harm” principle;

Amendment 139 #

Motion for a resolution
Paragraph 7 a (new)

7 a. Recalls that the success of the Recovery and Resilience Facility will not be measured based on the submission of national recovery plans nor on the money transferred by the Commission to the Member States; expect that Commission stick to its commitment to analyse the success of the financed projects by their impact on the economy and employment;

Amendment 14 #

Motion for a resolution
Citation 30 a (new)

– having regard to the 2023 research paper of EQUINET on The EU Green Deal’s Impact on Equality 10a, _________________ 10a Equinet: https://equineteurope.org/publications/pre liminary-assessment-of-the-eu-green- deals-impact-on-equality-survey-of- current-practices-and-needs-of-european- equality-bodies/

Amendment 140 #

Motion for a resolution
Paragraph 7 a (new)

7 a. Notes that a key channel for the effectiveness of NGEU is the implementation of the reform component in order to increase the long-term potential output levels of EU Member States;

Amendment 141 #

Motion for a resolution
Paragraph 7 a (new)

7 a. Is concerned about the RRF's performance-based financing system, citing limited results and excessive bureaucracy. Advocates for flexibility in adjusting milestones based on implementation lessons. Emphasizes the RRF's success, attributing it to financial mobilization by Member States;

Amendment 142 #

Motion for a resolution
Subheading 2 a (new)

European Semester and Recovery Resilience Facility

Amendment 143 #

Motion for a resolution
Paragraph 7 b (new)

7 b. Highlights that the Recovery and Resilience Facility Regulation clearly states that the milestones and goals of national recovery plans should be consistent with the country-specific recommendations(CSRs);

Amendment 144 #

Motion for a resolution
Paragraph 7 c (new)

7 c. Stresses that to overcome administrative barriers and bureaucracy, coordination between the relevant authorities is essential to manage the Recovery and Resilience Facility, which implies national governments to work in coordination with regional and local authorities, avoiding centralised management of funds that would make their implementation even more difficult;

Amendment 145 #

7 d. Recalls that only through rapid, transparent and effective implementation of the funds by the governments of the Member States, compliance with the agreed reforms and the agreed deadlines that these funds will have the promised impact on the GDP of the Union and of each of its Member States;

Amendment 146 #

Motion for a resolution
Paragraph 8

8. Supports streamlining EU cohesion policy programmes with investment needs identified under the RRF and in CSRs; recalls that cohesion policy serves a broader set of objectives than the RRF; calls for a comparable incorporation of stakeholder participation in the drafting and implementation of national RRPs as it is for cohesion policy programmes;deleted

Amendment 147 #

Motion for a resolution
Paragraph 8

8. ~~Supports streamlining EU cohesion policy programmes with investment needs identified under the RRF and in CSRs; recalls that cohesion policy serves a broader set of objectives than the RRF; c~~Calls for a comparable incorporation of stakeholder participation in the drafting and implementation of national RRPs ~~as it is for cohesion policy programmes~~;

Amendment 148 #

Motion for a resolution
Paragraph 8

8. Supports streamlining EU cohesion policy programmes with investment needs identified under the RRF and in CSRs; recalls that cohesion policy serves a broader set of objectives than the RRF~~; calls for a comparable incorporation of stakeholder participation in the drafting and implementation of national RRPs as it is for cohesion policy programmes~~ and may complement the measures agreed under the RRF;

Amendment 149 #

Motion for a resolution
Paragraph 8

8. Supports streamlining EU cohesion policy programmes with investment needs identified under the RRF and in CSRs; recalls that cohesion policy serves a broader set of objectives than the RRF~~; calls for a comparable incorporation of stakeholder participation in the drafting and implementation of national RRPs as it is for cohesion policy programmes~~ and may complement the measures agreed under the RRF;

Amendment 15 #

Motion for a resolution
Recital -A (new)

-A. whereas the European Semester plays an essential role in coordinating economic and budgetary policies in the Member States;

Amendment 150 #

Motion for a resolution
Paragraph 8

8. Supports streamlining EU cohesion policy programmes with investment needs identified under the RRF and in CSRs; recalls that cohesion policy serves a broader set of objectives than the RRF; ~~calls for a comparable incorporation of stakeholder participation in the drafting and implementation of national RRPs as it is for cohesion policy programmes;~~

Amendment 151 #

Motion for a resolution
Paragraph 8

8. Supports streamlining EU cohesion policy programmes with investment needs identified under the RRF and in CSRs; recalls that cohesion policy serves a broader set of objectives than the RRF; calls for a comparable incorporation of stakeholder participation including civil society organisations in the drafting and implementation of national RRPs as it is for cohesion policy programmes;

Amendment 152 #

Motion for a resolution
Paragraph 8 a (new)

8 a. Stresses that principle of value for money should represent the cornerstone of all EU funded investments; points out that EU funding should be accompanied by measurable objectives and outputs including a quantifiable and comparable evaluation mechanism that will allow to compare and rank the efficiency of individual EU programmes; underlines the importance of accountability and transparency for bodies that receive EU funding;

Amendment 153 #

Motion for a resolution
Paragraph 8 a (new)

8 a. Notes the role played by the RRF in addressing global challenges stemming from the green transition and the digital transformation of the economy; calls on Member States to make the most of this opportunity and to use it to transform their economies and make them more competitive; recalls the importance of verifying the effective implementation of the RRF and that the funds actually reach the real economy and SMEs;

Amendment 154 #

Motion for a resolution
Paragraph 8 b (new)

8 b. Underlines the importance of private and prudent public investment in the framework of the economic recovery; recalls that the RRF does not replace the specific role of national public investment; reiterates the need to ensure quality, transparency and accountability in public investment and national strategies coherent with the objectives of the twin transition, that must be complementary to the RRF and other European investment instruments;

Amendment 155 #

Motion for a resolution
Paragraph 8 c (new)

8 c. Recalls the requirement for Member States to address all or a significant subset of country-specific recommendations as part of their National Recovery and Resilience Plans;

Amendment 156 #

Motion for a resolution
Paragraph 9

9. ~~Considers it necessary to~~Regrets that the reform of the EU fiscal rules ~~and welcomes~~ , does not give to the Member States a true ownership to decide on their reference trajectories, neither pro~~posals put forward by the Commission;~~vides enough room of manoeuvre to do the necessary investments to achieve the EU goals on green and digital transition, as well as the Pillar of Social Rights. Strongly regrets the absence of preferential treatment for future-oriented public spending, such as green investment, from debt and deficit limits.

Amendment 157 #

Motion for a resolution
Paragraph 9

9. ~~Considers it necessary to reform the EU fiscal rules and welcomes the proposals put forward by the Commission~~Highlights the need to reform the current EU‘s economic governance framework in the wake of the deactivation of the escape clause; takes note of the proposals put forward by the Commission in order to ensure sufficient debt reduction and compliance with the EU Treaties; calls on the adoption of the review as soon as possible;

Amendment 158 #

Motion for a resolution
Paragraph 9

9. Considers it necessary to reform the EU fiscal rules and welcomes the proposals put forward by the Commission in order to ensure sufficient debt reduction and compliance with the EU Treaty, which prohibits excessive levels of debt and deficit;

Amendment 159 #

Motion for a resolution
Paragraph 9

9. Considers it necessary to reform and properly and equally enforce the EU fiscal rules and ~~welcom~~notes the proposals put forward by the Commission; stresses that the goal of fiscal rules is to restrict fiscal misconduct in the monetary union;

Amendment 16 #

Motion for a resolution
Recital A

A. whereas according to the Commission’s autumn 2023 forecast, GDP growth in 2023 is expected to beslow down to 0.6 % in both the EU and the euro area and expected to increase to 1.3 % and 1.2 % in 2024 respectively;

Amendment 160 #

Motion for a resolution
Paragraph 9

9. CNotes the position adopted by the Parliament ahead of the interinstitutional negotiations and the proposal put forward by the Commission; considers it necessary to reform the EU fiscal rules; a~~nd welcomes the proposals put forward by the Commission~~waits the position of the Council;

Amendment 161 #

Motion for a resolution
Paragraph 9

9. ~~Considers it necessary to~~Welcomes the European Parliament's position on the reform of the EU fiscal rules and ~~welcomes the proposals put forward by the Commission~~looks forward to entering into interinstitutional negotiations with the Council;

Amendment 162 #

Motion for a resolution
Paragraph 9

9. Considers it necessary to reform the EU fiscal rules and ~~welcomes~~takes into account the proposals put forward by the Commission as a good starting point for further negotiations ;

Amendment 163 #

Motion for a resolution
Paragraph 9

9. Considers it necessary to reform the EU fiscal rules and ~~welcomes~~takes note of the proposals put forward by the Commission;

Amendment 164 #

Motion for a resolution
Paragraph 9

9. Considers it urgent and necessary to reform the EU fiscal rules and welcomes the proposals put forward by the Commission; regrets that such reform was not completed before the end of 2023;

Amendment 165 #

Motion for a resolution
Paragraph 9 a (new)

9 a. Recalls Member States’ exclusive competence in some own economic policies, in particular regarding tax policies within the boundaries of the EU Treaties; acknowledges that although tax policy largely remains a responsibility of the Member States, the single market requires coordination in setting tax policy in order to further single market integration; highlights that EU Member States cooperating on corporate taxation is not a goal in itself, but rather a tool to complete, improve and further develop the single market;

Amendment 166 #

Motion for a resolution
Paragraph 9 a (new)

9 a. Regrets the lack of willingness to change the arbitrary fiscal limits of 3% of deficit and 60% of debt to GDP thresholds. Recalls that these limits lack sound economic justification and have led to undifferentiated reduction of public spending in the past.

Amendment 167 #

Motion for a resolution
Paragraph 10

10. Underlines that the reform must lead to a simplification of the framework, be more country-specific and strengthen its enforceability, and enable Member States to meet the public investment needs for the green and digital transitions of their economies without undermining the sustainability of government debt;deleted

Amendment 168 #

Motion for a resolution
Paragraph 10

Amendment 169 #

Motion for a resolution
Paragraph 10

10. Underlines that the reform must lead to a simplification of the framework~~, be more country-specific~~ and strengthen its enforceability~~, and enable Member States to meet the public investment needs for the green and digital transitions of their economies without undermining the sustainability of government debt~~ in order to decrease government debts of Member States to sustainable levels;

Amendment 17 #

Motion for a resolution
Recital A a (new)

A a. whereas the outlook remains surrounded by high uncertainty and risks, primarily related to the evolution of Russia’s ongoing war of aggression against Ukraine and the situation in the Middle East following the brutal terrorist attacks on Israel by Hamas;

Amendment 170 #

Motion for a resolution
Paragraph 10

10. Underlines that the reform must lead to a simplification of the framework~~, be more country-specific and strengthen its enforceability, and~~ and to an increase of its enforceability; highlights that the new framework should be more country-specific and increase national ownership in order to ensure debt sustainability; notes that the review shall also enable Member States to meet the public investment needs for the green and digital transitions of among otheir ~~econom~~key priorities without undermining the sustainability of government debt;

Amendment 171 #

Motion for a resolution
Paragraph 10

10. Underlines that the reform must lead to a simplification of the framework, be more country-specific and strengthen its enforceability, and enable Member States to meet the ~~publ~~strategic investment needs for the green and digital transitions of their economies without undermining the sustainability of government debt; even so, recalls that the primary goal must be the reduction of debt and the public deficit;

Amendment 172 #

Motion for a resolution
Paragraph 10

10. Underlines that the aim of the fiscal framework is sustainability of public finances of the Member States; stresses that the reform must lead to a simplification of the framework, be more country-specific and strengthen its enforceability, and enable Member States to meet the public investment needs for the green and digital transitions of their economies without undermining the ~~sustainability of government debt~~primary goal of debt-sustainability;

Amendment 173 #

Motion for a resolution
Paragraph 10

10. Underlines that the reform must lead to a simplification of the framework, be more country-specific allowing bigger national ownership, and strengthen its enforceability, ~~and~~while enable Member States to ~~meet~~find the right balance between the public investment needs for ~~the green and digital transitions of their economies without undermining~~economic growth and the sustainability of government debt;

Amendment 174 #

Motion for a resolution
Paragraph 10

10. Underlines that the reform must lead to a simplification of the framework, be more country-specific and strengthen its enforceability, ~~and enable~~in order to ensure debt sustainability while still enabling Member States to meet the public investment needs for the green and digital transitions of their economies without undermining the sustainability of government debt;

Amendment 175 #

Motion for a resolution
Paragraph 10

Amendment 176 #

Motion for a resolution
Paragraph 10

10. Underlines that the reform must lead to a simplification of the framework, be more country-specific ~~and strengthen its enforceability,~~ and enable Member States to meet the public investment needs for the green and digital transitions of their economies ~~without undermining the sustainability of government debt;~~, as well as to achieve the goals of the European Pillar of Social Rights.

Amendment 177 #

Motion for a resolution
Paragraph 10

10. Underlines that the reform must lead to a simplification of the framework, be more country-specific and strengthen its enforceability, and enable Member States to meet the public investment needs for the green and digital transitions as well as the resilience of their economies without undermining the sustainability of government debt;

Amendment 178 #

Motion for a resolution
Paragraph 10 a (new)

10 a. Underlines that sustainable public revenues are essential to guarantee fiscal sustainability; Underlines that responsible fiscal policies should not only focus on the expenditure but also revenue side that is essential to ensure the sustainability of Member States public finances; considers it therefore necessary to subject the level of taxes and duties in the Member States to greater European coordination to avoid tax competition and to ensure that necessary government revenues; stresses that both government revenues and government spending are essential to guarantee the sustainability of public finances;

Amendment 179 #

Motion for a resolution
Paragraph 11

11. Welcomes that lessons have been learned from the design choices of the RRF in linking national fiscal, reform and investment commitments with EU financial incentives such as grants and loans; greatly regrets that, unlike the RRF, the reform of the economic governance framework lacks the incentive mechanisms to support and promote necessary national policy reforms and investments; is concerned that some Member States will not have the financial capacity to finance the just green and digital transition on their own;deleted

Amendment 18 #

Motion for a resolution
Recital A a (new)

A a. whereas the EU’s low productivity and global competitiveness require urgent structural reforms and return to fiscal discipline in order to create conditions for strong and sound economic growth;

Amendment 180 #

Motion for a resolution
Paragraph 11

Amendment 181 #

Motion for a resolution
Paragraph 11

Amendment 182 #

Motion for a resolution
Paragraph 11

Amendment 183 #

Motion for a resolution
Paragraph 11

11. ~~Welcom~~Notes that lessons have been learned from the design choices of the RRF in linking national fiscal, reform and investment commitments with EU financial incentives such as grants and loans; ~~greatly regrets that, unlike the RRF, the~~encourages Member States to thoroughly reform of their economic governance framework lacks the incentive mechanisms to support and promote necessary national policy reforms and investments; is concerned that some Member States will not have the financial capacity to finance the just green and digital transition on their ownes along the lines of their country specific recommendations;

Amendment 184 #

Motion for a resolution
Paragraph 11

11. ~~Welcomes that lessons have been learned from~~Takes note of the design choices of the RRF in linking national fiscal, reform and investment commitments with EU financial incentives such as grants and loans; ~~greatly regrets that, unlike the RRF,~~notes that the reform of the economic governance framework ~~lacks the incentive mechanisms to support and promote necessary~~incentivises national policy reforms and investments; i~~s concerned that some Member States will not have the financial capacity to finance the just green and digital transition on their own~~n key strategic areas through additional flexibility in the trajectories;

Amendment 185 #

Motion for a resolution
Paragraph 11

11. Welcomes that lessons have been learned from the design choices of the RRF in linking national fiscal, reform and investment commitments with EU financial incentives such as grants ~~and loan~~based on joint borrowing and additional own resources; greatly regrets that, unlike the RRF, the reform of the economic governance framework lacks the incentive mechanisms to support and promote necessary national policy reforms and investments; is concerned that some Member States will not have the financial capacity to finance the just green and digital transition on their own;

Amendment 186 #

Motion for a resolution
Paragraph 11

Amendment 187 #

Motion for a resolution
Paragraph 11 a (new)

11 a. Calls for granting Independent Fiscal Institutions the powers and the means to monitor the proposals for adjustment trajectories, medium-term fiscal plans and implementation reports submitted by Member States as part of the new framework; calls for the adoption of the European Fiscal Board that gives the body enough means and autonomy to develop its functions;

Amendment 188 #

Motion for a resolution
Paragraph 12

Amendment 189 #

Motion for a resolution
Paragraph 12

Amendment 19 #

Motion for a resolution
Recital A b (new)

A b. whereas in 2023 and 2024, the aggregate fiscal stance is expected to turn contractionary, by 0.5% of GDP in both years, primarily due to the near complete phase out of crisis-related energy measures;

Amendment 190 #

Motion for a resolution
Paragraph 12

12. ~~Deplor~~Stresses that the interplay between macroeconomic imbalances and fiscal rules is not sufficiently addressed by the reform proposals; underlines that the financial stability of the EU depends on the macroeconomic balance between Member States’ economies and that restoring such a balance may require public spendingflexibility that may be provided under the new economic governance framework should not lead to backloading of either reforms or debt reduction efforts;

Amendment 191 #

12. ~~Deplore~~Highlights that the ~~interplay between macroeconomic imbalances and fiscal rules is not sufficiently addressed by the reform proposal~~new fiscal rules should not undermine the necessary reforms of Member States´ public finances; underlines that the financial stability of the EU depends on the macroeconomic balance between Member States’ economies ~~and that restoring such a balance may require public spending~~;

Amendment 192 #

Motion for a resolution
Paragraph 12

12. ~~Deplores that the interplay between macroeconomic imbalances and fiscal rules is not sufficiently addressed by the reform proposals; u~~Underlines that the financial stability of the EU depends on the macroeconomic balance between Member States’ economies and that restoring such a balance may require structural reforms in order to improve efficiency of public sexpendingtures, increase competitiveness and attract growth-friendly investment;

Amendment 193 #

Motion for a resolution
Paragraph 12

12. ~~Deplor~~Underlines that the fin~~terplay between macroeconomic imbalances and fiscal rules is not sufficiently addressed by the reform proposals; underlines that~~ancial stability of the EU depends on the financial stability of the ~~EU depe~~individual Member States collectively ands on the macroeconomic balance between Member States’ economies ~~and that restoring such a balance may require public spending~~;

Amendment 194 #

Motion for a resolution
Paragraph 12

12. Deplores that the interplay between macroeconomic imbalances and fiscal rules is not sufficiently addressed by the reform proposals; underlines that the financial stability of the EU depends on the macroeconomic balance between Member States’ economies and that restoring such a balance may require public spending; underlines that public spending must be controlled and justified since otherwise a crowding out effect could occur that would cause the private sector to contract and public debt to skyrocket, increasing the inefficiency of public spending;

Amendment 195 #

Motion for a resolution
Paragraph 13

Amendment 196 #

Motion for a resolution
Paragraph 13

Amendment 197 #

Motion for a resolution
Paragraph 13

13. Acknowledges the need to avoid enduring excessive deficits and calls for common rules based on objective criteria as a way to achieve this goal; stresses that, in return, those rules should not preclude temporary deviations from the net expenditure path due to dedicated, justifiable and strategically significant investments realising EU objectives; considers that the delivery and commitment by Member States on the implementation of the investments and reforms committed in the national plans of the Recovery and Resilience Facility, Cohesion Funds and future EU investments instruments that serve the same purpose, should be taken into account as a relevant factor leading to the opening of an excessive deficit procedure;

Amendment 198 #

Motion for a resolution
Paragraph 13

Amendment 199 #

Motion for a resolution
Paragraph 13

13. Acknowledges the need to avoid enduring excessive deficits and calls for common rules based on objective criteria as a way to achieve this goal; ~~stres~~recognises that~~, in return, those rules should not preclude temporary deviations from the net expenditure path due to dedicated, justifiable and strategically significant investments realising EU objectives~~ using Member State specific net expenditure paths takes into account the different starting positions and economic situation of Member States; acknowledges that temporary deviations from the net expenditure path may be justified in exceptional cases and as long as the Member State returns to its path after this temporary deviation; stresses that, in return, those rules should be properly adhered to and enforced;

Amendment 2 #

Motion for a resolution
Citation 5

~~– having regard to the Paris Agreement of the United Nations Framework Convention on Climate Change and the Sustainable Development Goals,~~deleted

Amendment 20 #

Motion for a resolution
Recital B

B. whereas the EU labour market continued to perform strongly in the first half of 2023 despite the slowdown in economic growth, yet labour shortages continue to be acute in some sectors and occupations, according to the Commission’s autumn 2023 forecast; whereas unemployment hit a historic low in the EU as a whole with variation across Member States;deleted

Amendment 200 #

Motion for a resolution
Paragraph 13

Amendment 201 #

Motion for a resolution
Paragraph 13

Amendment 202 #

Motion for a resolution
Paragraph 13

13. ~~Acknowledges the need to avoid enduring excessive deficits and calls for common rules based on objective criteria as a way to achieve this goal~~Is deeply concerned with the use of the net primary expenditure as a sole control variable for possible excessive deficits; Deeply regrets the usage of the control account as a surveillance mechanism; stresses that~~, in return,~~ those rules should not ~~preclude temporary deviations from the net expenditure path due to dedicated, justifiable and strategically~~curtail expenditure dedicated to significant investments realising EU objectives;.

Amendment 203 #

Motion for a resolution
Paragraph 14

Amendment 204 #

Motion for a resolution
Paragraph 14

Amendment 205 #

Motion for a resolution
Paragraph 14

Amendment 206 #

Motion for a resolution
Paragraph 14

14. Acknowledges the differences between individual Member States regarding the sustainability of their debt and that their capacity to reduce debt ~~while still being able to invest; emphasises therefore the need to allow Member States to have different debt reduction paths~~should be fully utilized;

Amendment 207 #

Motion for a resolution
Paragraph 14

Amendment 208 #

Motion for a resolution
Paragraph 14

Amendment 209 #

Motion for a resolution
Paragraph 14

Amendment 21 #

Motion for a resolution
Recital B

B. whereas the EU labour market ~~continued to perform strongly~~showed resilience in the first half of 2023 despite the slowdown in economic growth, yet labour shortages continue to be acute in some sectors and occupations, according to the Commission’s autumn 2023 forecast; whereas unemployment hit a historic low in the EU as a whole with significant variation across Member States; whereas youth unemployment hit 14,7% in the EU and 14,9% in the Euro Area in October 2023;

Amendment 210 #

Motion for a resolution
Paragraph 14

14. Acknowledges the differences between individual Member States regarding the sustainability of their debt and their capacity to reduce debt while still being able to invest; emphasises therefore the need to allow Member States to have different ~~debt reduction paths;~~ fiscal paths; stresses the key role that national budgets will need to play in financing the green transition, in the absence of joint funding that would reduce the cost and align incentives as witnessed in the RRF process; highlights the need for a permanent EU investment capacity once the RRF runs out end-2026 to ensure all Member States have the fiscal leeway to accelerate the transition while preserving fair competition in the single market;

Amendment 211 #

Motion for a resolution
Paragraph 14

14. Acknowledges the differences between individual Member States regarding the sustainability of their debt and their capacity to reduce debt while still being able to invest in EU common priorities such as the Green Deal, European Pillar of Social Rights, Digital Decade and Strategic Compass; emphasises therefore the need to allow Member States to have different debt reduction paths;

Amendment 212 #

Motion for a resolution
Paragraph 14

14. Acknowledges the differences between individual Member States regarding the sustainability of their debt and their capacity to reduce debt while still being able to invest; emphasises therefore the need to allow Member States to have different debt reduction paths;at there are different possible economic policies that would enable the sustainability of public debt, namely through strategic investment. Highlights that, recently, the IMF published evidence that, on average, fiscal consolidation does not reduce debt- to-GDP ratio.

Amendment 213 #

Paul TANG

Motion for a resolution
Paragraph 14 a (new)

14 a. Affirms the need for public investment to manage the twin transition, recognizes the importance of sustainable debt levels, points out that the fight against tax avoidance and strict compliance of the tax rules will already raise public revenues significantly while contributing to a fair distribution of welfare, furthermore points towards the lower tax burden on capital compared to labour, calls for a higher tax burden on wealth and profit.

Amendment 214 #

Motion for a resolution
Paragraph 14 a (new)

14 a. Stresses that in return for a more tailored and medium-term approach, it is key that Excessive Deficit Procedures will be opened in case of non-compliance; underlines in that regard the importance of debt challenges being the only key relevant factor in the assessment to open an Excessive Deficit Procedure;

Amendment 215 #

Amendment 216 #

Motion for a resolution
Paragraph 15

Amendment 217 #

Motion for a resolution
Paragraph 15

15. Welcomes the fact that the Commission negotiates with the Member States individual fiscal-structural plans; underlines that such an increase in discretionary power for the Commission must be accompanied by increased accountability towards the European Parliament;Stresses that Member States have the right to decide on their own reference trajectories, acknowledges that this decision may result from a constructive dialogue with the Commission, but that the Member State has the final decision, while complying with the rules laid down.

Amendment 218 #

Motion for a resolution
Paragraph 15

15. Welcomes the fact that the Commission negotiates with the Member States individual fiscal-structural plans; ~~underlines that such an increase in discretionary power for the Commission must be accompanied by increased accountability to~~asks the Commission to take into account as much as possible the plans that Member States put forwards the ~~European Parliament~~mselves;

Amendment 219 #

Motion for a resolution
Paragraph 15

15. ~~Welcom~~Notes the fact that the Commission ~~negotiates with~~and a Member State may enter into a dialogue about the Member State's individual fiscal-structural plans; stresses the need for equal treatment of Member States and that the Commission should always have the final say in case of disagreement; underlines that such an increase in discretionary power for the Commission must be accompanied by an increase~~d accountability~~ in the flow of information towards the European Parliament;

Amendment 22 #

Motion for a resolution
Recital B

Amendment 220 #

Motion for a resolution
Paragraph 15

15. Welcomes the fact that the Commission negotiates with the Member States their individual fiscal-structural plans; ~~underlines that such an increase in discretionary power for the Commission must be accompanied by increased accountability towards the European Parliament~~emphasizes the importance of equal treatment of Member States;

Amendment 221 #

Motion for a resolution
Paragraph 15

15. Welcomes the fact that the Commission negotiates with the Member States individual fiscal-structural plans; ~~underlines that such an increase in discretionary power for the Commission must be accompanied by increased accountability towards the European P~~asks the Commission that this does not justify large deviations that are allowed in an imparltia~~ment~~l manner;

Amendment 222 #

15. ~~Welcome~~Regrets the fact that the Commission negotiates with the Member States individual fiscal-structural plans; ~~underl~~poinets that ~~such an increase~~the danger of political horse- trading in dthisc re~~tionary power for the Commission must be accompanied by increased accountability to~~gard; encourages the Commission to strictly enforce the plans that Member States put forwards the ~~European Parliament~~mselves;

Amendment 223 #

Motion for a resolution
Paragraph 15

15. Welcomes the fact that the Commission negotiates with the Member States individual fiscal-structural plans; underlines th~~at such an increase in discretionary power for the Commission must be accompanied by increased accountability towards the European Parliament~~e importance of decreasing public debts to sustainable level referenced in the Treaties and rebuilding fiscal buffers;

Amendment 224 #

Motion for a resolution
Paragraph 15

15. Welcomes the fact that the Commission negotiates with the Member States individual fiscal-structural plans; underlines that such an increase in discretionary power for the Commission must be accompanied by increased accountability towards the European Parliament, including through legal powers in the event of decisions by EU institutions with material impacts on Member States’ national budgets;

Amendment 225 #

Motion for a resolution
Paragraph 16

16. Considers the stronger involvement of national parliaments in determining the content and voting on fiscal structural plans to be a meaningful way to increase national ownership of fiscal structural plans;deleted

Amendment 226 #

Motion for a resolution
Paragraph 16

Amendment 227 #

Motion for a resolution
Paragraph 16

16. Considers the stronger involvement of national parliaments in determining the content and voting on ~~fiscal structural plans to be a meaningful way to increase national ownership of fiscal structural plans;~~their reference trajectories to be a way to ensure their national ownership; stresses that the presentation of these plans must foresee the involvement and engagement with all the relevant stakeholders, such as trade unions, civil society, academia and NGOs.

Amendment 228 #

Motion for a resolution
Paragraph 16

16. Considers the ~~stronger~~ involvement of national parliaments in determining the content and voting on fiscal structural plans to be a m~~eaningful way to increase national ownership of fiscal structural plans~~atter at national discretion;

Amendment 229 #

Motion for a resolution
Paragraph 16

16. Considers the stronger involvement of national parliaments, taking into account the national legal framework, in determining the content and voting on fiscal structural plans to be a meaningful way to increase national ownership of fiscal structural plans;

Amendment 23 #

Motion for a resolution
Recital B

B. whereas the EU labour market continued to perform strongly in the first half of 2023 despite the slowdown in economic growth, yet labour shortages continue to be acute ~~in some~~across many sectors and occupations, in particular with regard to scale up and implementation of net zero technologies, according to the Commission’s autumn 2023 forecast; whereas unemployment hit a historic low in the EU as a whole with variation across Member States;

Amendment 230 #

Motion for a resolution
Paragraph 16

Amendment 231 #

Motion for a resolution
Paragraph 16 a (new)

16 a. Welcomes the independent assessment of the European Fiscal Board and the Independent Fiscal Institutions regarding the recommendation for a general escape clause, the fulfillment of the relevant requirements regarding the proposed reference trajectory and its underlying assumptions, as well as the fulfillment of the relevant requirements regarding the national medium-term fiscal-structural plan and its possible revision;

Amendment 232 #

Motion for a resolution
Paragraph 16 a (new)

16 a. Emphasizing the vital role of the European Parliament in the comprehensive overhaul of the economic governance framework and the forthcoming direction of economic governance within the EU, including the creation and oversight of fiscal instruments. This entails recognizing and underscoring the significance of national parliaments in this process; Furthermore, advocates for an increased engagement of the European Parliament in the European Semester, aiming to foster equitable collaboration between co-legislators;

Amendment 233 #

Fabio Massimo CASTALDO

Motion for a resolution
Paragraph 16 a (new)

16 a. Stresses the need for a stronger involvement of the social partners in a timely and meaningful manner when drafting individual fiscal-structural plans; the plans must be in line with the social policy goals as defined in the European Pillar of Social Rights and its action plan;

Amendment 234 #

Motion for a resolution
Paragraph 17

17. Recognises that the Economic Dialogue as part of the European Semester lays a useful foundation of accountability, but considers that proper accountability can only be achieved if the European Parliament has accountability instruments that allow it to apply consequences based on its assessment of the performance of the European Semester such as veto rights or holding Commissioners personally responsible;deleted

Amendment 235 #

Motion for a resolution
Paragraph 17

Amendment 236 #

Motion for a resolution
Paragraph 17

Amendment 237 #

Motion for a resolution
Paragraph 17

Amendment 238 #

Amendment 239 #

Motion for a resolution
Paragraph 17

17. Recognises that the Economic Dialogue as part of the European Semester ~~lay~~is a useful foundation of accountability, but considers that proper accountability can only be achieved if the European Parliament has accountability instruments that allow it to apply consequences based on its assessment of the performance of the European Semester such as veto rights or holding Commissioners personally responsible;tool of reporting to the European Parliament; underlines that the Treaty clearly stipulates that the role of the European Parliament in the coordination of economic policies, on which the European Semester is based, is to be duly informed.

Amendment 24 #

Motion for a resolution
Recital C

C. whereas inflation ~~will amount to~~is projected to reach 6.5 % in the EU and 5.6 % in the euro area in 2023 and is ~~exp~~projected to fall to 3.5 % and 3.2 % in 2024 respectively, according to the Commission’s autumn 2023 forecast; whereas this level is higher than the two percent inflation target the European Central Bank is aiming for;

Amendment 240 #

Motion for a resolution
Paragraph 17

17. Recognises that the Economic Dialogue as part of the European Semester lays a useful foundation of accountability, but considers that proper accountability can only be achieved if the European Parliament has accountability instruments ~~that allow it to apply consequences based on its assessment of the performance of the European Semester such as veto rights or holding Commissioners personally responsible~~;

Amendment 241 #

Motion for a resolution
Paragraph 17

17. Recognises that the Economic Dialogue as part of the European Semester lays a useful foundation of accountability, but considers that proper accountability can only be achieved if the European Parliament has accountability instruments that allow it to apply legal consequences based on its assessment of the performance of the European Semester such as veto rights or holding Commissioners personally responsible;

Amendment 242 #

Paul TANG

Motion for a resolution
Paragraph 17 a (new)

17 a. Points out that EU scoreboards help Member States to assess the strengths and weaknesses of their national policies. Stresses that the Tax system of several EU Member states are prone to aggressive tax avoidance schemes. Calls for an EU Tax Scoreboard that provides comparative data on aggressive tax planning indicators.

Amendment 243 #

Motion for a resolution
Paragraph 17 a (new)

17 a. Stresses that all the EU institutions shall act within the remit of their competences in the field of economic governance, as laid down in the Treaties.

Amendment 244 #

Fabio Massimo CASTALDO

Motion for a resolution
Paragraph 17 a (new)

17 a. Underlines the economic obsolescence of the 3% and 60% government deficit and debt reference values; encourages the European Council to undertake a treaty review to overcome this loophole.

Amendment 245 #

Fabio Massimo CASTALDO

Motion for a resolution
Paragraph 17 b (new)

17 b. Stresses the incoherence of Title III ‘Fiscal Compact’ of the Treaty on Stability, Coordination and Governance (TSCG) with the proposed review of the Economic Governance.

Amendment 25 #

Motion for a resolution
Recital C

C. whereas inflation will amount to 6.5 % in the EU and 5.6 % in the euro area in 2023 and is expected to fall to 3.5 % and 3.2 % in 2024 respectively, according to the Commission’s autumn 2023 forecast; whereas these figures are still highly above the ECB's quantitative target of 2% inflation over the medium term;

Amendment 26 #

Motion for a resolution
Recital C

C. whereas inflation will amount to 6.5 % in the EU and 5.6 % in the euro area in 2023 and is expected to fall to 3.5 % and 3.2 % in 2024 respectively, according to the Commission’s autumn 2023 forecast; whereas this level is higher than the two percent inflation target the European Central Bank is aiming for;

Amendment 27 #

Motion for a resolution
Recital C a (new)

C a. Whereas headline inflation reached its peak on October 2022 at 10,6% and core inflation on March 2023 at 5,7%; whereas ECB projections of core inflation are constantly revised upward; whereas ECB recognises that a significant part of the reduction of headline inflation was due to external factors such as the prices of commodities; whereas, according to the September projections, the withdrawn of energy and inflation fiscal compensatory measures will contribute again to a positive effect of energy inflation to headline inflation in the second quarter of 2024.

Amendment 28 #

Motion for a resolution
Recital C a (new)

C a. whereas inflation affects income groups disparately and low-income groups suffer from a disproportionately higher negative impact which is particularly pronounced when inflation is driven by essential goods' and services’ price developments, constituting a larger portion of low-income households' consumption and these divergent effects create a genuine cost-of-living crisis for certain population segments, posing challenges to social cohesion;

Amendment 29 #

Motion for a resolution
Recital D

D. whereas the debt-to-GDP ratio is expected to decrease to 83.1 % in the EU (90.4 % in the euro area); whereas the debt-to-GDP ratio is expected to marginally decline in the EU to around 82.7 % in 2024 and 82.5 % in 2025; whereas this reality varies significantly among the Member States; whereas a sustainable path to reduce public debt is essential to preserve economic stability, to safeguard balanced budgetary policies and to stand for intergenerational fairness;

Amendment 3 #

Motion for a resolution
Citation 5

~~– having regard to the Paris Agreement of the United Nations Framework Convention on Climate Change and the Sustainable Development Goals,~~deleted

Amendment 30 #

Motion for a resolution
Recital D

D. whereas the debt-to-GDP ratio is expected to decrease to 83.1 % in the EU (90.4 % in the euro area); whereas the debt-to-GDP ratio is expected to marginally decline in the EU to around 82.7 % in 2024 and 82.5 % in 2025; whereas long-term debt-to-GDP projections are significantly above the maximum reference value of 60 % of debt-to-GDP ratio as defined by the TFEU;

Amendment 31 #

Motion for a resolution
Recital D

Amendment 32 #

Motion for a resolution
Recital D

Amendment 33 #

Motion for a resolution
Recital D

Amendment 34 #

Motion for a resolution
Recital D a (new)

D a. whereas at the beginning of an inflationary period, public debt-to-GDP ratio tends to decrease, reflecting the initial impact of inflation on the real value of outstanding debt; whereas towards the later stages of an inflationary period interest rates eventually surpass the inflation rate, resulting in increasing interest costs for debt-refinancing, and thus increasing the overall public debt-to- GDP ratio;

Amendment 35 #

Motion for a resolution
Recital D a (new)

D a. whereas the European Semester plays an essential role in coordinating economic and budgetary policies in the Member States, thereby safeguarding the macroeconomic stability of the Economic and Monetary Union; whereas the European Semester must not be overburdened with competing objectives, but should keep a narrow focus on competitiveness and sound fiscal policies;

Amendment 36 #

Motion for a resolution
Recital D a (new)

D a. whereas according to the Commission’s autumn forecast, government deficit is expected to decline to 3.2% of GDP in 2023 and to further decrease to 2.8% of GDP in 2024 and 2.7% in 2025;

Amendment 37 #

Motion for a resolution
Recital D a (new)

D a. whereas the EU general government deficit is projected to decline slightly in 2023, to 3.2% of GDP and is expected to further decrease to 2.8% of GDP in 2024 and to 2.7% in 2025;

Amendment 38 #

Motion for a resolution
Recital D a (new)

D a. whereas meeting the goals of the European Green Deal and Paris Agreement requires significant public and private investments;

Amendment 39 #

Motion for a resolution
Recital D b (new)

D b. whereas the Commission has announced that it will propose to the Council to open deficit-based Excessive Deficit Procedures in spring 2024 on the basis of the outturn data for 2023, in line with existing legal provisions;

Amendment 4 #

Motion for a resolution
Citation 14 a (new)

– having regard to Regulation (EU, Euratom) 2020/2092 of the European Parliament and of the Council of 16 December 2020 on a general regime of conditionality for the protection of the Union budget (the Rule of Law Conditionality Regulation),

Amendment 40 #

Motion for a resolution
Recital D b (new)

D b. whereas high levels of public debt represent a drag on the economy, greater risk of a fiscal crisis, lower national savings and income and lead to large tax hikes;

Amendment 41 #

Motion for a resolution
Recital D c (new)

D c. whereas high debt-to-GDP levels in certain Member States combined with rising refinancing costs raise significant doubts in relation to their long-term debt sustainability;

Amendment 42 #

Motion for a resolution
Recital E

E. whereas a swift, decisive and coordinated policy response allowed the EU economy to rebound and address the socioeconomic consequences of the COVID-19 pandemic and Russia’s war of aggression against Ukraine, and has allowed it to navigate through the resulting energy crisis, the economic slowdown in 2023 and a period of high risk and uncertainty, including as a result of the situation in the Middle East; whereas the general escape clause of the Stability and Growth Pact will be deactivated at the end of 2023;

Amendment 43 #

Motion for a resolution
Recital E a (new)

E a. Whereas net public investment as a proportion of GDP fell sharply in the EU after the financial crisis, hitting particularly strongly the Southern European countries and reaching in some cases negative levels; whereas this ratio has not fully recovered since then due to fiscal consolidation pressure under the former EU economic governance rules.

Amendment 44 #

Motion for a resolution
Recital E a (new)

E a. whereas disruptive geopolitical events have demonstrated the need for the European Union to further strengthen its open strategic autonomy and remain competitive in global market, while ensuring that no one is left behind;

Amendment 45 #

Motion for a resolution
Recital E b (new)

E b. Whereas the revision of the Economic Governance rules must guarantee that Member States have the flexibility to cover their needs of public investment to promote climate transition and conversion, in order to achieve the climate goals defined in Paris Agreement, as well as to achieve the objectives of the European Social Pillar.

Amendment 46 #

Motion for a resolution
Recital F

F. whereas EU funding hwas proven to be an essential tool to provide macroeconomic stabilisation at EU level and increase its internal and external resilience in times of crisis while supporting Member States in financing necessary investments in EU priorities to tackle current and future challengesonly reimbursed after the economy had already recovered considerably and has therefore played only a limited role in the actual economic recovery;

Amendment 47 #

Motion for a resolution
Recital F

F. whereas ~~EU funding~~tightening of the monetary policy has proven to be an essential tool to provide macroeconomic stabilisation at EU level and increase its internal and external resilience in times of crisis while EU funding has been supporting Member States in financing necessary investments in EU priorities to tackle current and future challenges;

Amendment 48 #

Motion for a resolution
Recital F

F. whereas EU funding has ~~proven to be an essential tool~~contributed to provide macroeconomic stabilisation at EU level ~~and increase its internal and external resilience in times of crisis while supporting Member States in financing necessary investments in EU priorities to tackle current and future challenges~~;

Amendment 49 #

Motion for a resolution
Recital F

F. whereas EU funding has ~~proven to be an essential tool to provide~~contributed to macroeconomic stabilisation at EU level and to increase of its internal and external resilience in times of crisis while supporting Member States in financing necessary investments ~~in EU priorities to tackle current and future challenges~~;

Amendment 5 #

Motion for a resolution
Citation 15

~~– having regard to the Commission communication of 4 March 2021 entitled ‘The European Pillar of Social Rights Action Plan’ (COM(2021)0102),~~deleted

Amendment 50 #

Motion for a resolution
Recital F

F. whereas EU funding has proven to be an essential tool to ~~provide macroeconomic stabilisation at EU level and~~ increase its internal and external resilience in times of crisis while supporting Member States in financing necessary investments in EU priorities to tackle current and future challenges;

Amendment 51 #

Motion for a resolution
Recital F

F. whereas EU ~~funding~~exceptional one-off public intervention has proven to be an essential tool to provide macroeconomic stabilisation at EU level and increase its internal and external resilience in times of crisis while supporting Member States in financing necessary investments in EU priorities to tackle current and future challenges;

Amendment 52 #

Motion for a resolution
Recital F

F. whereas EU funding has proven to be a~~n essential~~ questionable tool to provide macroeconomic stabilisation at EU level and increase its internal and external resilience in times of crisis while supporting Member States in financing necessary investments in EU priorities to tackle current and future challenges;

Amendment 53 #

Motion for a resolution
Recital F a (new)

F a. whereas the success of climate- neutral and digital transformation measures relies on a common European approach and the future resilience of the EU depends on increased public investments for sustainable growth. Whereas addressing the need for a timely strategy to ensure continued elevated public investment levels post the expiration of the RRF after 2026 is imperative;

Amendment 54 #

Motion for a resolution
Recital F a (new)

F a. whereas after a sizeable crisis- related expansion in 2020 to 2022, the fiscal stance in the euro area is expected to be restrictive in 2023 and 2024, which is consistent with the need to reduce public deficit and debt and to avoid fuelling inflationary pressures, while remaining agile in view of the high uncertainty;

Amendment 55 #

Motion for a resolution
Recital F a (new)

F a. whereas according to the Commission’s European Semester: Annual Sustainable Growth Survey, economic activity in the EU slowed down in the face of high inflation and tighter financing conditions, after a strong recovery in 2022;

Amendment 56 #

Motion for a resolution
Recital F b (new)

F b. Reiterates the need for Member States to have the necessary control and audit mechanisms in place to ensure respect for the rule of law and protect the EU’s financial interests, notably to prevent fraud, corruption and conflicts of interest and secure transparency; emphasises the importance of implementing the relevant enabling country-specific recommendations in this regard; regrets that some Member States are using the country-specific recommendations as a tool of their national anti-European propaganda aiming to adversely influence the pro- European population's perspectives on the EU institution.

Amendment 57 #

Motion for a resolution
Recital F b (new)

F b. whereas there is a high risk related to the high level of debt and price differences; whereas inflationary environment contributed to accelerating the deleveraging, tighter financing conditions could increase tensions related to the high level of debt; whereas it would mainly affect Member States where debt servicing requires important refinancing operations or in which the private sector faces a sharp increase of interest payments;

Amendment 58 #

Motion for a resolution
Paragraph 1

1. Expresses concern about the weak growth and productivity in the EU; notes the continuous impact of energy prices and inflation on the purchasing power of households and on the ability to perform of EU companies; in this respect, expresses that protracted non-targeted fiscal support to households and firms is not the right tool as it increases inflationary pressures and contributes to prolonged tight monetary policy, but rather targeted measures should be applied;

Amendment 59 #

Motion for a resolution
Paragraph 1

1. Expresses concern about the weak growth in the EU; notes the continuous impact of energy prices and inflation on the purchasing power of households and on the ability to perform of EU companies; therefore it is essential to achieve sustainable and competitive economic growth by achieving efficiency and promoting economic freedom;

Amendment 6 #

Motion for a resolution
Citation 15

~~– having regard to the Commission communication of 4 March 2021 entitled ‘The European Pillar of Social Rights Action Plan’ (COM(2021)0102),~~deleted

Amendment 60 #

Motion for a resolution
Paragraph 1

1. Expresses concern about the weak growth in the EU; notes the continuous impact of energy prices and inflation on the purchasing power of households and on the ability to perform of EU companies; calls on the Member States to take further steps to overcome those difficulties while not distorting competition on the single market;

Amendment 61 #

Motion for a resolution
Paragraph 1

1. Expresses concern about the ~~weak growth~~economic weakness in the EU; notes the continuous impact of energy prices and inflation on the purchasing power of households, resulting in energy poverty and increased risk of poverty for many Europeans, and on the ability to perform of EU companies;

Amendment 62 #

Motion for a resolution
Paragraph 1

1. Expresses concern about the weak growth in the EU; ~~not~~stresses the continuous impact of energy prices and inflation on the purchasing power of households, a~~nd on the ability to perform of EU companies;~~ffecting in particular the most vulnerable ones as well as SMEs.

Amendment 63 #

Motion for a resolution
Paragraph 1 a (new)

1 a. Recalls that European economic growth must be based on a free market where there is competition between companies and regions, reduction of regulatory barriers for companies, implement tax policies that encourage investment and job creation, protect the private property of individuals, favour international and European industrial trade, encourage innovation and entrepreneurship, maintain a stable monetary policy, invest in education and training to develop a qualified workforce, control and reduce public spending avoiding excessive deficits and maintain fiscal stability and promote flexibility within the labour market to facilitate the adaptation of companies to changes in demand and improve efficiency;

Amendment 64 #

Motion for a resolution
Paragraph 1 a (new)

1 a. Notes that many Member States are suffering from structural challenges hindering their growth potential; highlights that tackling structural challenges is crucial for a sustainable recovery and continued growth, and that implementing reforms to address structural vulnerabilities is key not only to improving the ability to withstand and cope with existing challenges but also to accomplishing the twin transitions in a sustainable and fair manner;

Amendment 65 #

Motion for a resolution
Paragraph 1 a (new)

1 a. Notes that some Member States have suffered from structurally low growth levels even before the pandemic and the recent energy crisis;

Amendment 66 #

Motion for a resolution
Paragraph 1 b (new)

1 b. Notes that many Member States are suffering from structural challenges hindering their growth potential; Highlights that tackling structural challenges is crucial for a sustainable recovery and continued growth, and that implementing reforms to address structural vulnerabilities is key not only to improving the ability to withstand and cope with existing challenges but also to accomplishing the twin transitions in a sustainable and fair manner;

Amendment 67 #

Motion for a resolution
Paragraph 1 c (new)

1 c. Highlights that ambitious structural reforms remain essential to strengthen the EU’s economic base, promote business creation and entrepreneurship and strengthen the Union's competitiveness, productivity and overall growth potential;

Amendment 68 #

Motion for a resolution
Paragraph 2

2. Recognises the efforts of the European Central Bank (ECB) to bring the inflation rate down in the euro area; considers rises in interest rates to only partially address the reasons for the hikes in inflation and that adequate and coordinated fiscal, structural and regulatory policies and reforms complementing the ECB’s monetary policy actions are needed; stresses that the primary objective of the ECB is to maintain price stability, which is a necessary condition in order to defend the wellbeing and purchasing power of our citizens, our production structure and the international competitiveness of our companies; considers rises in interest rates to only partially address the reasons for the hikes in inflation and reiterates that monetary policy actions need to be accompanied by complementary fiscal policies, structural and regulatory reforms supporting the ECB’s monetary policy actions are needed; in this regard, highlights that fiscal policy coordination is key to helping monetary policy bring inflation back to its medium-term target in a timely manner; supports the Commission's recommendation to Member States, in the period 2024-2025, to adopt coordinated and prudent fiscal policies to keep debt at prudent levels or put debt ratios on a plausibly downward path;

Amendment 69 #

Motion for a resolution
Paragraph 2

2. ~~Recognis~~Welcomes the efforts of the European Central Bank (ECB) to bring the inflation rate down in the euro area; ~~considers rises in interest rates to only partially address the reasons for the hikes~~ points out that fiscal policy needs to support monetary policy in reducing inflation and ~~that adequate and coordinate~~safeguard fiscal, s~~tructural and regulatory policies and reforms complementing the ECB’s monetary policy actions are needed~~ustainability;

Amendment 7 #

Motion for a resolution
Citation 15

~~– having regard to the Commission communication of 4 March 2021 entitled ‘The European Pillar of Social Rights Action Plan’ (COM(2021)0102),~~deleted

Amendment 70 #

Motion for a resolution
Paragraph 2

2. Recognises the efforts of the European Central Bank (ECB) to bring the inflation rate down in the euro area; ~~considers rises in interest rates to only partially address the reasons for the hikes~~ encourages the ECB to do whatever it takes to bring inflation ~~and~~down to its target level; considers that adequate and coordinated fiscal, structural and regulatory policies and reforms complementing the ECB’s monetary policy actions are needed;

Amendment 71 #

Motion for a resolution
Paragraph 2

2. Recognises the efforts of the European Central Bank (ECB) to bring the inflation rate down in the euro area; considers rises in interest rates ~~to only partial~~significantly address the reasons for the hikes in inflation and that adequate and coordinated fiscal, structural and regulatory policies and reforms complementing the ECB’s monetary policy actions are needed;

Amendment 72 #

Motion for a resolution
Paragraph 2

Amendment 73 #

Motion for a resolution
Paragraph 2

Amendment 74 #

Motion for a resolution
Paragraph 2 a (new)

2 a. Notes that the analysis carried out by the ECB itself has shown that the rise in profits, not wages, has been one of the key factors in the current inflationary period; recalls that real wages have been falling substantially over the last months in Euro Area countries.

Amendment 75 #

Motion for a resolution
Paragraph 2 a (new)

2 a. Shares ECB President Lagarde's consideration that all supportive fiscal policy measures must be temporary, targeted and tailored in order not to further spur inflation;

Amendment 76 #

Motion for a resolution
Paragraph 2 a (new)

2 a. Is worried about large inflation differentials within the euro area, particularly because it could translate into competiveness divergences;

Amendment 77 #

Motion for a resolution
Paragraph 2 b (new)

2 b. Stresses that the restrictive monetary policy pursued by the European Central Bank (ECB) to bring the inflation rate down in the euro area has been remarkably ineffective; stresses that core inflation has been remained in high levels; is deeply worried about the long- lasting consequences of this unprecedented restrictive monetary cycle, especially if coupled with an equally restrictive fiscal policy; stresses that the social hardships and negative economic impact of such choices cannot be overlooked.

Amendment 78 #

Motion for a resolution
Paragraph 2 b (new)

2 b. Agrees with the Commission that the current macroeconomic environment is characterised by persisting uncertainty, high inflation and compromised competitiveness of the euro area and calls for an ambitious policy agenda; in this regard, echoes the Commission's recommendation to Member States to achieve an overall restrictive fiscal stance in the euro area while remaining agile in view of the high uncertainty;

Amendment 79 #

Motion for a resolution
Paragraph 2 c (new)

2 c. Acknowledges that the contractionary fiscal stance expected in 2023 and 2024 is consistent with contributing to restoring fiscal buffers over time and thus, to improving the sustainability of public debt in some Member States; highlights that the contraction does not come at the expense of investment, which is to be increased across the euro area;

Amendment 8 #

Motion for a resolution
Citation 16

~~– having regard to the Porto Social Commitment of 7 May 2021 of the Council, the Commission, Parliament and social partners,~~deleted

Amendment 80 #

Motion for a resolution
Paragraph 2 d (new)

2 d. Notes the importance of sound fiscal policies and of Member States building sufficient fiscal buffers in good times in order to increase the resilience of the Union and increase the Union's capacity to react to future crises;

Amendment 81 #

Motion for a resolution
Paragraph 3

3. Stresses that a lack of public and private investments in certain Member States is hindering the potential of sustainable growth; recognises that public investments are limited as they represent scarce resources mostly funded by the taxpayers; warns that boosting public investment should not be seen as an alternative to productivity-enhancing reforms; emphasises that attracting private investment requires a regulatory environment that allows for a return on investment; considers that predictable rules, a level playing field and reduced compliance costs are crucial factors for attracting investment; highlights that these investments are crucial for the EU’s ability to cope with existing challenges and increase the EU’s resilience and competitiveness during upcoming challenges;

Amendment 82 #

Motion for a resolution
Paragraph 3

3. Stresses that a lack of public and private investments in certain Member States is hindering the potential of sustainable growth; highlights that these investments are crucial for the EU’s ability to cope with existing challenges and increase the EU’s resilience and competitiveness during upcoming challenges; highlights that tax incentives for private research and development (R&D) could help lifting an economy’s overall spending towards research and development, which often comes with positive externalities;

Amendment 83 #

Motion for a resolution
Paragraph 3

3. Stresses that a lack of public and private investments in certain Member States is hindering the potential of socially just and environmentally sustainable growth; highlights that these investments are crucial for the EU’s ability to cope with existing challenges, including the just green transition and increase the EU’s resilience and competitiveness during upcoming challenges, in particular with regard to making the EU independent from imported fossil fuels;

Amendment 84 #

Motion for a resolution
Paragraph 3

3. Stresses that a lack of p~~ublic and private~~rivate and prudent public investments, in particular strategic investments, in certain Member States is hindering the potential of sustainable growth; highlights that these investments are crucial for the EU’s ability to cope with existing challenges and increase the EU’s resilience and long-term competitiveness during upcoming challenges;

Amendment 85 #

Motion for a resolution
Paragraph 3

3. Stresses that a lack of p~~ublic and private~~roductivity- enhancing investments in certain Member States is hindering the potential of sustainable growth; highlights that these investments are crucial for the EU’s ability to cope with existing challenges and increase the EU’s resilience and long-term competitiveness during upcoming challenges;

Amendment 86 #

Motion for a resolution
Paragraph 3

3. Stresses that a lack of public and private investments in certain Member States is hindering the potential of sustainable growth; highlights that these investments ~~are crucial for~~may increase the EU’s ability to cope with existing challenges and increase the EU’s resilience and competitiveness during upcoming challenges;

Amendment 87 #

Motion for a resolution
Paragraph 3

3. Stresses that a lack of public and private investments in certain Member States is hindering the potential of inclusive sustainable growth; highlights that these investments are crucial for the EU’s ability to cope with existing challenges and increase the EU’s resilience and competitiveness during upcoming challenges;

Amendment 88 #

Motion for a resolution
Paragraph 3 a (new)

3 a. Stresses the need to further deepen the Single Market by reducing red tape that hampers the free movement of services, strengthen the financial sector through the completion of the Capital Markets Union, and expedite the negotiations of free-trade agreements between EU and other democratic countries;

Amendment 89 #

Motion for a resolution
Paragraph 3 a (new)

3 a. Notes with concern the elevated levels of public debt; points out that cautious fiscal policies would contribute to restoring fiscal buffers over time and thus to improving the sustainability of public debt in some Member States;

Amendment 9 #

Motion for a resolution
Citation 16

~~– having regard to the Porto Social Commitment of 7 May 2021 of the Council, the Commission, Parliament and social partners,~~deleted

Amendment 90 #

Motion for a resolution
Paragraph 3 a (new)

3 a. Notes that this level of public indebtedness is considerably higher than the reference values in the treaty; notes with concern that high public debt levels are a source of systemic macroeconomic risk;

Amendment 91 #

Motion for a resolution
Paragraph 3 b (new)

3 b. Concurs with the Commission's assessment that risks related to high debt and price divergences remain relevant, in particular in Member States where debt servicing requires large rollovers of debt, or where the private sector faces steep increases in interest payments.1a _________________ 1a Investing in the EU’s competitive future: Annual Sustainable Growth Survey 2024 (COM(2023) 901 final).

Amendment 92 #

Motion for a resolution
Paragraph 3 b (new)

3 b. Calls on Member States to reduce deficits and aggregate public debt levels to bring them in line with the treaty reference values thereby reducing the burden on future generations;

Amendment 93 #

Motion for a resolution
Paragraph 3 c (new)

3 c. Invites Member States to conduct spending reviews as a regular part of the (multi)annual budgetary process, which would help improve the efficiency and quality of public expenditures;

Amendment 94 #

Motion for a resolution
Paragraph 3 c (new)

3 c. Stresses that a high rate- environment puts considerable pressure on highly indebted Member States;

Amendment 95 #

Motion for a resolution
Paragraph 3 d (new)

3 d. Agrees that deep and integrated EU capital markets are key for EU global competitiveness, as a means to source private investment in the EU economy; reiterates that promoting private investment and innovation are key to enhancing productivity and strengthening the euro area competitiveness;

Amendment 96 #

Motion for a resolution
Paragraph 3 d (new)

3 d. Notes that high aggregated debt levels are not only a consequence of the Covid-19 crisis or the energy cost crisis, but also a consequence of lax fiscal policies over the past years and poor enforcement of the EU's fiscal rules;

Amendment 97 #

Motion for a resolution
Paragraph 3 e (new)

3 e. Agrees that removing barriers to investment, including through reforms that streamline and digitalise planning, permitting and other administrative procedures would help boost private investment; reiterates that industrial policy can also contribute by supporting investment, safeguarding competitiveness, and avoiding risks linked to excessive reliance on a limited number of third countries for key technologies, raw materials and industrial inputs;

Amendment 98 #

Motion for a resolution
Paragraph 3 e (new)

3 e. Concurs with the Commission's recommendation expressed in the Annual Sustainable Growth Survey 2024 that Member States should adopt coordinated and prudent fiscal policies to keep debt at prudent levels or put debt ratios on a plausibly downward path;

Amendment 99 #

Motion for a resolution
Paragraph 3 f (new)

3 f. Concurs with the Commission's recommendation expressed in the Annual Sustainable Growth Survey 2024 that Member States should wind down crisis-related energy support measures as soon as possible and use the resulting savings to reduce deficits;

source: 757.857

2024/01/18 BUDG 39 amendments...

Amendment 1 #

Draft opinion
Paragraph 1

1. NUnderlines the exceptionally uncertain EU economic and social outlook resulting from the lasting impact of the COVID-19 pandemic, the consequences of the invasion of Ukraine, inflation and the energy and cost of living crises; notes that the Union economy is expected to gradually recover in 2024, although with a slower pace than initially projected, with a forecast growth of 1.3 % of GDP and a generally robust labour market; points, however, to the various risks and uncertainties, which put a strain on European businesses, public finance, public social and welfare policies and people, and affect some Member States more than others; is highly concerned by the extremely high levels of inflation that have resulted in a cost of living crisis; points to the research ofthe European Central Bank and the International Monetary Fund suggesting that corporate profits have been important drivers of inflation;

Amendment 10 #

Petri SARVAMAA, Monika HOHLMEIER

Draft opinion
Paragraph 2

Amendment 11 #

Draft opinion
Paragraph 2

Amendment 12 #

Draft opinion
Paragraph 2

2. Takes note of the proposed reform of the economic governance framework of the Union; believes that the new framework should ~~ensure clear and flexible implementation and~~ provide the adequate fiscal space for Member States to invest in the ~~EU’s strategic prioriti~~twin transitions and the EU’s strategic priorities; stresses that underinvestment in climate mitigation policies will aggravate debt sustainability and raise debt/GDP ratios as climate disruption leads to dramatic revenue losses; recalls its position that an EU-level permanent crisis instrument will contribute to ensuring a sufficiently high level of strategic investment and an appropriate fiscal stance at the aggregate level;

Amendment 13 #

Draft opinion
Paragraph 2

2. Takes note of the proposed reform of the economic governance framework of the Union; believes that the new framework should ensure clear and ~~flexible~~transparent implementation and provide the adequate fiscal space for Member States to invest in the EU’s strategic priorities, as well as in defense investments; recalls its position that an EU-level permanent crisis instrument will contribute to ensuring a sufficiently high level of strategic investment and an appropriate fiscal stance at the aggregate level;

Amendment 14 #

Eric MINARDI

Draft opinion
Paragraph 2

Amendment 15 #

Draft opinion
Paragraph 2

Amendment 16 #

Draft opinion
Paragraph 2 a (new)

2a. Recalls that respect for the rule of law guarantees more justice, equality and economic stability; recalls the importance of an effective conditionality mechanism applied to the Union budget and EU funds to ensure the confidence of European citizens and investors;

Amendment 17 #

Draft opinion
Paragraph 3

3. Stresses the success of the Recovery and Resilience Facility (RRF) in supporting the recovery of EU economies andnotes its positive impact on the implementation of ~~the~~ country-specific recommendations and on investments in EU priorities; welcomes the Commission’s estimate that the full implementation of quantifiable milestones and targets up until the end of 2026 funded by NGEU Green Bonds, corresponding to 57% of the NGEU Green Bond eligible expenditure, can reduce GHG emissions by 44 million tonnes of CO2 per annum– equivalent to 1.2% of aggregate 2022 EU GHG emissions - and insists on proper implementation; stresses furthermore the importance that reforms and investments under the Recovery and Resilience Plans meet the climate targets of the regulation and fully respect the “do no significant harm” principle; welcomes the fact that most Member States have submitted revised national plans, including REPowerEU chapters; stresses that investments in line with European objectives, notably those of the RRF and REPowerEU, should be treated favourably for the calculation of excessive debt;

Amendment 18 #

Draft opinion
Paragraph 3

3. Stresses the overall success of the Recovery and Resilience Facility (RRF) in supporting the recovery of EU economies and societies and notes its positive impact on the implementation of ~~the country-specific recommendations and on investment~~reforms and investments in EU priorities; underlines the importance of compliance with the rule of law and the general regime of conditionality and reiterates the need for the necessary monitoring, audit and enforcement mechanisms to ensure respect for the rule of law and to protect the EU’s fin ~~EU priorities~~ancial interests, in particular to prevent fraud, corruption and conflicts of interest and ensure transparency; welcomes the fact that most Member States have submitted revised national plans, including REPowerEU chapters; stresses that investments in line with European objectives, notably those of the RRF and REPowerEU, should be treated favourably for the calculation of excessive debt;

Amendment 19 #

Victor NEGRESCU

Draft opinion
Paragraph 3

3. Stresses the success of the Recovery and Resilience Facility (RRF) in supporting the recovery of EU economies andnotes its positive impact on the implementation of the country-specific recommendations and on investments in EU priorities; welcomes the fact that most Member States have submitted revised national plans, including REPowerEU chapters; stresses that investments in line with European objectives, notably those of the RRF and REPowerEU, should be treated favourably for the calculation of excessive debt; recalls the need to take into consideration the particular financial and economic effects of the war in Ukraine, especially on the frontline countries, and calls upon the Commission to extend the current exceptional provisions and to assess and take into consideration their impact in the calculation of excessive deficit procedure;

Amendment 2 #

Draft opinion
Paragraph 1

1. Notes that the Union economy is expected to gradually recover in 2024, with a forecast growth of 1.3 % of GDP and a generally robust labour market while inflation is expected to remain substantially above 2% (3.5% in 2024 and 2.4% in 2025); points, however, to the various risks and uncertainties, which put a strain on European businesses, public finance and people, and affect some Member States more than others; is particularly concerned about the continuous impact of energy prices and inflation on the purchasing power of households, resulting in energy poverty and increased risk of poverty for many Europeans, and on the ability to perform of EU companies;

Amendment 20 #

Draft opinion
Paragraph 3

3. Stresses the success of the Recovery and Resilience Facility (RRF) in supporting the recovery of EU economies and notes its positive impact on the implementation of the country-specific recommendations and on investments in EU priorities; welcomes the fact that most Member States have submitted revised national plans, including REPowerEU chapters; stresses that investments in line with European objectives, notably those of the RRF and REPowerEU, should be treated favourably for the calculation of excessive debt; considers that the EU should build on the success of the Next Generation EU, the RRF and the Support to mitigate Unemployment Risks in an Emergency (SURE) instrument for future EU instruments to respond to arising challenges;

Amendment 21 #

Petri SARVAMAA, Monika HOHLMEIER

Draft opinion
Paragraph 3

3. ~~Stress~~Notes the ~~suc~~implementation process of the Recovery and Resilience Facility (RRF) inthat should support~~ing~~ the recovery of EU economies and~~notes its~~ should have a positive impact on the implementation of the country-specific recommendations and on investments in EU priorities; points out that the level of implementation of the RRF is currently much lower than expected and warns against the consequences of further delays; welcomes the fact that most Member States have submitted revised national plans, including REPowerEU chapters; stresses that investments in line with European objectives, notably those of the RRF and REPowerEU, as well as defense investments should be treated favourably for the calculation of excessive debt;

Amendment 22 #

Draft opinion
Paragraph 3

3. Stresses the success of the Recovery and Resilience Facility (RRF) in supporting the recovery of EU economies andnotes its positive impact on the implementation of the country-specific recommendations and on investments in EU priorities; welcomes the fact that most Member States have submitted revised national plans, including REPowerEU chapters; ~~stresses that investments in line with European objectives, notably those of the RRF and REPowerEU, should be treated favourably for the calculation of excessive debt~~recalls the importance of verifying the effective implementation of the RRF and that the funds actually contribute to the real structural economic recovery and reach the relevant entities, such as small and medium-sized enterprises;

Amendment 23 #

Eric MINARDI, Joachim KUHS

Draft opinion
Paragraph 3

3. Stresses the middling success of the Recovery and Resilience Facility (RRF) in supporting the recovery of EU economies andnotes its ~~posi~~relative impact on the implementation of the country-specific recommendations and on investments in EU priorities~~; welcomes the fact that most Member States have submitted revised national plans, including REPowerEU chapters~~, since the Member States did not fully use the loans facility of the RRF; stresses that investments in line with ~~European~~Member States’ objectives, notably those of the RRF and REPowerEU, should be treated favourably for the calculation of excessive debt;

Amendment 24 #

Draft opinion
Paragraph 3 a (new)

3 a. Stresses the importance of significant public investment to support a sustainable, fair and inclusive recovery in the EU, address the energy crisis, strengthen public healthcare systems, upward social and economic convergence, social and economic resilience, social justice and equality and to contribute to the full implementation of the UN Sustainable Development Goals, the European Pillar of Social Rights, the EU’s climate and biodiversity objectives, the just green and digital transitions and the EU Gender Equality Strategy; notes that according to the Commission, 650 billion EUR of additional investment is needed annually until 2030 for the green and digital transitions alone; stresses, moreover, that, according to the Commission, significant progress is still needed to reach the 2030 EU and national employment, skills and social targets; supports, therefore, the introduction of a golden rule to exclude public investment on tackling climate change, promoting digitisation of the public sector and strengthening public social policies as well as public spending to meet emergency needs, from the calculation of public debt and public deficit;

Amendment 25 #

Petri SARVAMAA

Draft opinion
Paragraph 3 a (new)

3 a. Stresses that the successful implementation of Recovery and Resilience Plans also requires the achievement of well adapted milestones and targets, and in particular compliance with the rule of law and the general regime of conditionality, which should be monitored transparently and thoroughly and allow no backsliding on achievements; underlines the importance of compliance with the rule of law and the general regime of conditionality, as the protection of the Union budget is a fundamental prerequisite for accessing the fund; reiterates the need for Member States to have the necessary monitoring, audit and enforcement mechanisms in place in order to ensure respect for the rule of law and to protect the EU’s financial interests, in particular to prevent fraud, corruption and conflicts of interest and ensure transparency;

Amendment 26 #

Draft opinion
Paragraph 3 a (new)

3a. Stresses the need for European and industrial energy autonomy, leading in particular to the achievement of an integrated sustainable energy market and the security of its energy supply;

Amendment 27 #

Draft opinion
Paragraph 4

4. Recalls that the substantial increase in interest rates has driven up the borrowing costs for the European Recovery Instrument (EURI); reiterates, therefore, its call for swift progress on the introduction of new own resources, as agreed in the legally-binding roadmap established under the Interinstitutional Agreement; asks, moreover, the Commission to reflect beyond the existing roadmap and to propose further innovative, new and preferably genuine own resources; strongly supports the Commission proposal for a EURI instrument outside the ceilings of the multiannual financial framework to cover the excess costs for interest payments; recalls its position that all EURI repayment costs should be placed over and above the MFF ceilings;

Amendment 28 #

Draft opinion
Paragraph 4

4. Recalls that the substantial increase in interest rates has driven up the borrowing costs for the European Recovery Instrument (EURI); re~~iterates,~~calls that repayment of the debt is non-discretionary spending and calls for a stable and predictable solution for the re~~fore, its call for~~payment of NGEU borrowing costs over and above the ceilings; insists on rapid progress on the introduction of new own resources; strongly supports the Commission proposal for a EURI instrument outside the ceilings of the multiannual financial framework to cover the excess costs for interest payments;

Amendment 29 #

Draft opinion
Paragraph 4

4. Recalls that the substantial increase in interest rates has driven up the borrowing costs for the European Recovery Instrument (EURI); reiterates, therefore, its call for ~~progress on the introduction of new own resources~~the introduction of genuine new own resources such as a financial transaction tax and a financial contribution linked to the corporate sector or a new common corporate tax base; strongly supports the Commission proposal for a EURI instrument outside the ceilings of the multiannual financial framework to cover the excess costs for interest payments;

Amendment 3 #

Victor NEGRESCU

Draft opinion
Paragraph 1

1. Notes that the Union economy is expected to gradually recover in 2024, with a forecast growth of 1.3 % of GDP and a generally robust labour market; points, however, to the various risks and uncertainties, which put a strain on European businesses, public finance and people, and affect some Member States more than others, that require better policy coordination and an increased social dimension within the framework of the European Semester;

Amendment 30 #

Draft opinion
Paragraph 4

4. Recalls that the substantial increase in interest rates has driven up the borrowing costs for the European Recovery Instrument (EURI); reiterates, therefore, its call for progress on the introduction of new own resources to finance the borrowing costs of the recovery plan (NGEU) and the Social Climate Fund; strongly supports the Commission proposal for a EURI instrument outside the ceilings of the multiannual financial framework to cover the excess costs for interest payments;

Amendment 31 #

Eric MINARDI, Joachim KUHS

Draft opinion
Paragraph 4

4. Recalls that the substantial increase in interest rates has driven up the borrowing costs for the European Recovery Instrument (EURI); ~~reiterates,~~ therefore~~, its~~ calls for ~~progress on the introduction of new own resources; strongly supports~~avoidance of further borrowing and for restraint in planning the EU budget; stresses the need to carefully consider the advantages and disadvantages of the Commission proposal for a EURI instrument outside the ceilings of the multiannual financial framework to cover the excess costs for interest payments;

Amendment 32 #

Draft opinion
Paragraph 4

4. Recalls that the substantial increase in interest rates has driven up the borrowing costs for the European Recovery Instrument (EURI); reiterates, therefore, its call ~~for progress on the introduction of new own resources; strongly supports the Commission proposal for a EURI~~to stop the borrowings to avoid excess costs for interest payments, and that no instrument should be outside the ceilings of the ~~multiannual financial framework to cover the excess costs for interest payments~~MFF to respect the principles of unity and of budgetary accuracy;

Amendment 33 #

Victor NEGRESCU

Draft opinion
Paragraph 4 a (new)

4 a. Calls for a better correlation of the European Semester with the Digital Economy and Society Index (DESI) so as to ensure the Union’s competitiveness, contribute to attaining the Union’s objectives for the Digital Decade and achieve a fair digital transition; stresses, furthermore, the need for a greater inclusion of education, upskilling and reskilling in the European Semester format, recognizing their vital role in ensuring sustainable growth and employment prospects across the Union

Amendment 34 #

Draft opinion
Paragraph 4 a (new)

4a. Stresses that repayment of the debt from the recovery instrument, via the EU budget, must not be financed by the abolition of programmes or by an increase in taxes on our citizens, nor should it be borne by future generations; takes the view that debt repayment should be financed by the big polluters, multinationals who do not pay their fair share and by foreign CO2 importers;

Amendment 35 #

Draft opinion
Paragraph 5

5. Calls for the Parliament~~’s role~~ to be fully involved in the reform of the economic governance framework as well as the future conduct of economic governance in the EU, including in the establishment and management of fiscal instruments; recalls that Parliament's role ind the European Semester toshould be strengthened.

Amendment 36 #

Petri SARVAMAA

Draft opinion
Paragraph 5

5. ~~Calls for Parliament’s role~~Stresses that the European Parliament should be fully involved in the reform of the economic governance framework in the European Union and that the European Semester toshould be strengthened.

Amendment 37 #

Eric MINARDI, Joachim KUHS

Draft opinion
Paragraph 5

5. Calls for a thorough rethinking of the issue of a possible increased role of Parliament~~’s role~~ in the reform of the economic governance framework and the European Semester ~~to be strengthened~~.

Amendment 38 #

Draft opinion
Paragraph 5

5. Calls for Parliament’s and Member States’ role in the reform of the economic governance framework and the European Semester to be strengthened.

Amendment 39 #

Draft opinion
Paragraph 5

5. Calls for Parliament’s role in the reform of the economic governance framework and the European Semester to be significantly strengthened.

Amendment 4 #

Petri SARVAMAA

Draft opinion
Paragraph 1

1. Notes that the Union economy is expected to gradually recover in 2024, with a forecast growth of 1.3 % of GDP and a generally robust labour market; points, however, to the various risks and uncertainties, resulting from the consequences of Russia’s criminal, unlawful and unjustified war against Ukraine, which put a strain on European businesses, public finance and people, and affect some Member States more than others;

Amendment 5 #

Draft opinion
Paragraph 1

1. Notes that the Union economy is expected to gr~~adually recover in 2024, with a forecast growth of 1.3 % of GDP and a generally robust labour market~~ow slightly in 2024, while the IMF expects that its GDP growth in the EU will amount to 1.2% and the average forecast suggests that it may amount to only 0.5%; points, however, to the various risks and uncertainties, which put a strain on European businesses, public finance and people, and affect some Member States more than others;

Amendment 6 #

Draft opinion
Paragraph 1

1. Notes that the Union economy is expected to gradually recover in 2024, with a forecast growth of 1.3 % of GDP and a generally robust labour market; points, however, to the various challenges, risks and uncertainties, which put a strain on European businesses, public finance and people, and affect some Member States more than others;

Amendment 7 #

Draft opinion
Paragraph 1 a (new)

1 a. notes the Commission estimate that more than 450 billion EUR of annual additional investment will be needed for the next decade to keep the Union on track for the implementation of the Green Deal in order to achieve climate neutrality by 2050 at the latest; consequentially believes that an increase of public investment is therefore urgently needed; recalls that while some Member States have trouble mobilising public investment for economic reasons, others have trouble doing so for legal reasons; proposes therefore to invest jointly via the EU level to reduce pressure on national budgets and ensure the delivery of EU policy priorities; calls for a Green Transition Facility/RRF 2.0 based on mutualised debt and joint borrowing on scale and in line with the additional investment needs;

Amendment 8 #

Draft opinion
Paragraph 1 a (new)

1a. Recalls that cohesion policy is a long-term investment instrument, ensuring economic, social and territorial transformation and convergence;

Amendment 9 #