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Europe Daily Bulletin No. 10463
GENERAL NEWS / (ae) eu/economy

BusinessEurope says countries in surplus should not be penalised

Brussels, 29/09/2011 (Agence Europe) - BusinessEurope, the voice of European companies, believes that eurozone countries in surplus (like Germany) should not be penalised, saying that people should remember that penalising countries that are successful abroad would be counterproductive for European competitiveness and Europe should learn from the best, rather than the average. The question of balance in macroeconomic surveillance was a matter of bitter debate between the European Parliament and the member states.

On Wednesday, the European Parliament endorsed the planned changes to the Stability and Growth Pact (see EUROPE 10462) to tighten up the budget surveillance requirements and introduce a clear timeline for debt reduction. It agreed to a new macroeconomic surveillance process for countries in both surplus and deficit. Eurozone countries infringing EU rules will run the risk of earlier, more automatic, penalties. The European Trade Union Confederation criticises what it describes as changes to introduce “governance of austerity and wage depression” (see separate article). (MB/transl.fl)

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