Oviedo, 15/04/2002 (Agence Europe) - The informal ECOFIN Council has prepared the European position to be defended by Council President, Rodrigo Rato, for the meeting of Finance Ministers and G7 central bank governors and the IMF meeting in a week's time. Mr Rato noted on behalf of the Fifteen, the worrying situation in Argentina and appealed for an agreement between the IMF and the country. This agreement would become a means for launching viable and sustainable economic reforms and setting up a transparent economic framework to reassure investors of budgetary health. Mr Rato asserted that co-ordination between the World Bank and the IMF had to allow all possible avenues to be explored for a technical operation that was viable for Argentina.
The President of the Council is expected to illustrate the European economic situation since the introduction of the Euro and present a follow-up to the commitments made by the EU during the Monterrey Conference on development funding, as well as the European position on debts in the different Member States (sovereign debt). The Spanish Presidency explained that Europe would be appealing for greater private sector involvement in debt restructuring.
The issue of EU representation in IMF bodies didn't advance much at Oviedo. Rodrigo Rat declared that they wanted the Financial Committee to raise the question in order to gain consensus. He also hoped that the co-ordination of Member States' positions made progress as had the positions on Argentina and Member States' debt. Mr Rato also explained that the ECOFIN Council intends to continue reflections on the work of the European Convention.
Pedro Solbes asserted that the Commission supported the consensus developed by the ECOFIN Council on debt management and reiterated his wish that the EU obtained a "single seat" at the IMF, even if this couldn't be achieved overnight. He also pointed out that co-ordination had to be facilitated through a number of mechanisms. Mr Solbes explained that this task would be more complex after enlargement and that they had to use the Community method as much as possible. The constitution of a European Office and single representative at the IMF Council would improve the visibility and influence of Europe, Mr Solbes added during his contribution.