The European Union’s new economic governance framework, designed to strengthen Member States’ debt sustainability and encourage growth, came into force on Tuesday 30 April.
This reform is presented as the most significant and comprehensive overhaul of the EU’s economic governance rules since the economic and financial crisis.
The Commission presented its legislative proposals for the reform of this framework on 26 April 2023. The European Parliament and the EU Council formally adopted the legislation in April.
The changes made to the framework should enable a better balance to be struck between Member States’ debt and the investment required for the reforms undertaken.
The approach is intended to be more gradual and balanced, with the aim of maintaining investment levels.
The next stage in this transition to the new framework will be the presentation of the spring package of the ‘European Semester’ budgetary process on 19 June, when the Commission will provide guidance to Member States on drawing up their medium-term structural fiscal plans.
These plans will define the Member States’ fiscal objectives, as well as priority reforms and investments, and must be presented to the Commission by 20 September. (Original version in French by Isalia Stieffatre)