At the Brussels Economic Forum on Tuesday 5 June, the chair of the Eurogroup, Mario Centeno, reiterated his intention of progressing with reforms on deepening Economic and Monetary Union (EMU).
Although he welcomed the return to good results currently seen throughout the EU (see EUROPE 12014), Centeno stressed that the “institutions are still incomplete”.
Referring to the Eurozone summit to be held in Brussels on 28 and 29 June, he said: “we have a choice to either remain vulnerable to the next crisis and to political or market instability, or to be bold and decide to take the euro more seriously”.
Although pleased with the agreement reached by the Council of the EU on 25 May on the 'banking risks reduction' package (see EUROPE 12027), he stressed that the priority is now an agreement this month for the European Stability Mechanism (ESM) to be converted into a common backstop for the Single Resolution Fund (SRF), the financial arm of banking union.
He added that he hopes to make progress on the European Deposit Insurance System (EDIS) and on reinforcing the current ESM.
Finally, Centeno said that he was in favour of creating a macroeconomic stabilisation function, in reference to the proposal of the European Commission (see EUROPE 12013, 12031).
The meeting of the heads of state or government on 28 and 29 June will be of critical importance in this regard. (Original version in French by Lucas Tripoteau)