Several ministers of Economy and Finance of the euro zone have warned this Monday of the risk of “fragmentation” of the single market upon arrival at a Eurogroup meeting, days after Germany announced a €200 billion plan in aHelp to reduce electricity bills for businesses and homes. Upon entry to the Eurogroup in Luxembourgthe Commissioner for the Economy, Paolo Gentilonihas advocated for avoid “the fragmentation of the single market” and for thinking of tools that can contribute to solidarity.
“Solidarity is not just on German shoulders. I think this is something that we have to discuss at a European level”has influenced the Commissioner for the Economy who has put the pandemic as an example of “how solidarity” can serve “to react to crises and secure financial markets”.
In a similar sense, the economic vice-president of the European Commission, Valdis Dombrovskiswhich has urged to be “cautious” with the mix of economic policies that are implemented, and has stressed that these must be targeted and temporary, to “ensure that the fiscal measures we are taking will return us to a 2% inflation“, in line with the guidelines of the European Central Bank.
For his part, the German Minister of Finance, Christian Lindnerhas defended at his entrance to the meeting of Ministers of Economy of the Nineteen that the German Government has launched a “protective shield” for households and the economy of up to 200,000 million euros.
“We have taken this measure for the next two years,” the German stressed, emphasizing that the measure is not only for 2023, but will extend to 2024, something that, considering the size of the German economy, has been estimated ” provided”. “It is not our intention to boost demand in the economy. It is not our intention to completely remove the burden from households in the economy. It is a measure to protect the key structures of our economy,” the German minister defended.
The President of the Eurogroup, Paschal Donohoe, has highlighted the importance of coordinating national economic policies in order to improve the resilience of the euro zone. “We have the RepowerEU initiative and we have the current implementation of the Recovery Fund, which are very powerful tools to drive economic convergence” and achieve practical effects to achieve the European commitment to solidarity.
Calviño appeals to unity
Asked about the German emergency plan, the First Vice President and Minister for Economic Affairs and Digital Transformation, Nadia Calvino, has advocated a united response at European level. “At this time when we are also facing a global challenge and an international challenge, we have to act togetherwe strongly support the EU reinforcing its tools to respond to Putin’s blackmail”, the first vice-president told the press upon entering the Eurogroup in Luxembourg.
The Belgian Minister of Finance, Vincent Van Peteghem, has defended that the “European project is based on solidarity, on working together” and on “coordination” for which he has valued that the finance ministers of the euro zone meet to discuss these issues. “It is important that we show unity, that we act as a block. That today, in these times of crisis, we believe in predictability even though we are in uncertain times,” added the Belgian minister.
In this sense, Calviño has highlighted that “as happened with the pandemic, we are stronger when we act together, with important decisions, with determination and also with solidarity. This was the recipe we used to respond to the pandemic“. More harshness has been shown by the French Finance Minister, Bruno the Mayor, which has warned of the need to agree on a European response to the rise in energy prices and has urged that aid be properly adjusted to avoid a “fragmentation” of the single market that puts fair competition within the European Union at risk. “It is essential that financial aid is focused”, Le Maire stressed, adding that it is something “indispensable if we want conditions of fair competition between Member States”
Source: LA INFORMACIÓN – Lo último by www.lainformacion.com.
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