Liège, 22/09/2001 (Agence Europe) - The EU's Economic and Finance Ministers acknowledged on Friday after the Eurogroup meeting in Liège that the attacks in the United States "will have an economic and financial impact in the short run" in the Union. In an optimistic statement to Heads of State, they assert that the "EU economy maintains solid fundamentals", particularly the "fall in inflation" which should allow consumption, the main engine of European growth, to be maintained. Moreover, Mr Reynders was not concerned by the current slump in the stockmarkets which he was quick to describe as a kind of "skin reaction". Commissioner Pedro Solbes did, however, recognise that European growth would clearly be "below 2%" this year, compared with forecasts of 3.2% in the eurozone a year ago, forecasts which had already been scaled back to 2.8% in April.
Ministers felt that thanks to the fiscal consolidation already achieved, the EU economy "is now in a better shape to deal with the cyclical fluctuations", and welcomed OPEC's policy, announced shortly after the attacks, to maintain price stability in the oil markets. "Further declines in oil prices could contribute decisively to better conditions for stability and growth in the world economy". Ministers restated their "commitment to the framework, rules and full implementation of the Stability and Growth Pact", saying the fiscal consolidation measures were already being to take an effect.