Brussels, 19/03/2012 (Agence Europe) - Renaissance of optimism despite a difficult economic situation, persistence in the reform process, consensus on action to be carried out to give investors confidence and stimulate growth and jobs while cutting public spending - these were the key ideas set out by the Italian prime minister, Mario Monti, and the president of the European Commission, José Manuel Barroso, at a joint press conference in Milan on Saturday 17 March after their meeting at a conference organised by Italian employers' association Confindustria. Barroso described the EU's action to consolidate public finance and boost growth in Europe in an address to Confindustria.
During their meeting, Monti told Barroso that talks in Italy were due to conclude next week on reform of welfare and the labour market. He also told him about getting the new law on privatisation onto the statute books and his meetings with other EU leaders, like Angela Merkel. He said that these individual talks with other heads of state were crucial to foster compromise and strengthen, rather than weaken, the Community method.
The president of the Commission said that following a difficult period, tension was now easing in the eurozone, thanks in part to greater confidence among investors in Italy as a result of the consensus in Italy among political parties and ordinary people that reforms are vital to reduce debt and tackle the structural problems of the economy which are holding back economic growth. This renewed confidence is not only important for the country itself, but is also of benefit to the eurozone and the wider EU27, added Barroso. He praised the root-and-branch reforms of the labour market now being undertaken by the Italian government, pointing out that by encouraging people to adapt and be flexible when it comes to hiring and firing, the reforms should encourage more people to enter the labour market. The percentage of young people and women who have a job is lower in Italy than the EU average. It is hoped that the reforms will lead to jobs being more permanent (another Italian problem) by introducing some kind of “flexicurity”, as recommended by the EU. Barroso said it was important that talks among employers and employees created consensus about the reform process as this was fundamental for winning back investor confidence and therefore for stimulating growth. He said that Italy was setting an example in Europe through its commitment to the single market, budget consolidation and growth stimulus, making use of the Community method and taking a confident, optimistic approach to the opportunities provided within the EU.
The president of the Commission arrived in Italy with Commissioner Geoghegan-Quinn to visit the EU's Joint Research Centre at Ispra and the European Crisis Management Monitoring Centre. He will be making a speech at Bocconi University in Milan, and has been requested by the Italian government to make an official visit to Rome in the near future. (FG/transl.fl)