Economic governance
EU directive on minimum corporate tax expected before end of year
Days after 136 countries agreed on an international tax deal, a European Commission official announced that a directive to implement the corporate minimum tax rate might be forthcoming before the end of the year.
136 countries agree on international tax reform
More than 100 countries agreed on Friday (8 October) a reform of the international tax regime intended to make it fit for the digital age and respond to longstanding concerns about corporate tax evasion.
EU Parliament criticises member states’ inaction in debate on Pandora Papers
EU lawmakers criticised the bloc's finance ministers on Wednesday afternoon (6 October) for their inaction against tax avoidance, in a debate devoted to the Pandora Papers, the latest leak of financial documents exposing malpractice and tax avoidance by the rich and powerful across the globe.
EU finance ministers strike three countries off tax haven blacklist, ignoring Parliament’s calls
Following a new massive leak of financial documents, the so-called Pandora Papers, EU lawmakers called for more action against money laundering and tax evasion and urged the bloc's finance ministers to review the blacklist of global offenders. However, the ministers chose to remove three countries from the list on Tuesday (5 October).
Draghi on quest to challenge EU rules and grow out of public debt
Italian Prime Minister Mario Draghi unveiled an ambitious Italian budget for 2022-2024 last week, with deficits above the limits set by the Stability and Growth Pact, in what appears to be a bet on a change in the EU’s fiscal rulebook.
ECB-Lagarde reacts to MEPs’ inflation fears
European Central Bank chief Christine Lagarde told EU lawmakers on Monday that the recent uptick in inflation was likely to be a temporary phenomenon.
The Brief, powered by EPRA — The politics of the pact
The EU’s fiscal rule book was an early victim of the COVID pandemic, correctly, pushed aside by the need to keep businesses afloat as lockdowns derailed economies. But it has not been forgotten.
Commission hints at quick fix of fiscal rules in 2022
The European Commission said on Friday (10 September) that it will explore options to improve the Stability and Growth Pact by the end of next year, as member states are preparing for a bruising battle over the reform of the EU’s fiscal rules.
The new crusade for fiscal prudence
The frugal alliance stands to gain very little if their campaign for premature fiscal consolidation following the pandemic succeeds, but they risk exposing the entire EU to serious political and economic consequences, writes Anna Peychev.
Revamping fiscal rules requires a new understanding on debt sustainability
It is necessary to reform the European Union’s flawed macroeconomic architecture as the post-pandemic world demands a new fiscal rulebook to boost our economies, argues Margarida Marques.
The ECB needs political guidance on secondary objectives
While EU Treaties clearly stipulate that the European Central Bank “shall support the general objectives of the European Union", politicians cannot simply stand by, hoping that it will use its discretionary power to act on them, writes Grégory Claeys.
EU’s revised fiscal pact to consider ‘golden rule’ on investment
The European Commission will propose towards the end of the year how to simplify the European Union's complex budget rules, cut accumulated debt and boost investment, European Economic Commissioner Paolo Gentiloni said on Thursday (4 March).
Commission wants to keep fiscal rules suspended in 2022
The European Commission said on Wednesday (3 March) that the Stability and Growth Pact should remain suspended next year as the European economy needs additional stimulus to return to the pre-crisis level.
EU likely to waive borrowing limits again in 2022
The European Union is likely to waive limits on government borrowing again in 2022, given persistent uncertainties about the pace of economic recovery once the coronavirus pandemic is contained, officials say.
The Coronavirus exposes the Netherlands as a tax haven – again
Governments miss out on billions of tax revenues annually as the result of tax havens such as The Netherlands. The Coronavirus pandemic tellingly shows how such tax havens undermine public policy and cohesion within the EU, argues Boris Kowalski.
EU’s Gentiloni calls for greater involvement of unions in recovery plans
The economic crisis caused by COVID-19 could turn into a “social crisis”, the EU's economic affairs commissioner Paolo Gentiloni has warned, calling for greater involvement from trade unions in the elaboration of national recovery plans.
Portuguese minister: Fiscal discipline suspension should continue due to second wave
Portugal's finance minister said on Monday (25 January) that the stimulus to the European economy must be maintained until the COVID-19 pandemic “loses momentum”.
2021: Build back to the future
The EU will double down on its efforts to use the Covid-19 crisis to accelerate the ‘Green’ and digital transitions, fuelled by its €1.95 trillion stimulus, an intense policy agenda and new trade opportunities to improve its global standing.
Commission green-lights extra spending to avoid double-dip recession
The European Commission has given its blessing to the draft budgetary plans submitted by the 19 eurozone countries, containing the extra spending to combat the risk of a new recession, but warned about the growing imbalances in many EU economies.
Economic support will last ‘as long as necessary’, says Gentiloni
Given the increasing number of covid-19 cases and the risk of a double-dip recession, the support to the European economy will be maintained “as much as is needed, for as long as is needed”, said on Tuesday (27 October) commissioner for Economy, Paolo Gentiloni.
Germany’s Scholz sees ‘no way back’ from EU joint debt
German Finance Minister Olaf Scholz said Sunday (23 August) that the European Union's recovery package financed by joint borrowing was a long-term measure rather than a short-term coronavirus crisis fix, contradicting Chancellor Angela Merkel.
ECB to sit tight as EU leaders shape virus recovery plan
European Central Bank governors are expected to refrain from doling out fresh stimulus medicine Thursday, hoping EU leaders will do their bit to shore up the crisis-hit region with a huge coronavirus recovery plan.
Italy, Spain and France worst performers as recession deepens
Italy, Spain and France will register the worst economic downturn among eurozone countries this year as the contraction will be more severe than previously expected, according to the latest European Commission forecast published on Tuesday (7 July).