The European Union has been responding to the global economic crisis through actions on different levels. They include:
- fiscal consolidation and strengthened economic governance
- reform and repair of the financial sector
- reforms to boost growth and job creation
- supporting EU countries in difficulty, while the reforms produce results
Summary of actions and links on economic governance
- Timeline of the financial crisis response including regulations, directives and proposals
- Timeline on rating agencies including links to regulations, directives and proposals
Fiscal consolidation and strengthened economic governance
The EU has been taking concrete steps for a much stronger integration within the Economic and Monetary Union. EU action has been focusing on restoring the sustainability of public finances and addressing other macroeconomic imbalances as well as on providing financial assistance to Member States in difficulties. In addition, new rules will ensure stronger and more effective economic governance, particularly for the euro area, with adequate mechanisms to monitor progress and ensure enforcement.
Reform and repair of the financial sector
The EU action is aimed at implementing a stricter regulatory regime for the financial sector not only internally but also on a global level (G20). At the same time, it is necessary to strengthen the financial sector so that banks can support the economy by providing credit.
Reforms to boost growth and job creation
The EU action also aims to encourage structural reforms and to support growth-enhancing investments; to strengthen the single market especially for services, energy and e-commerce; and to tackle unemployment, especially youth unemployment. The aim is to create the conditions for smarter, more sustainable growth.
Supporting EU countries in difficulty
The EU’s economic governance system allows for an appropriate steer and follow-up at EU level. Each year, the Commission carefully analyses the National Reform Programme of each Member State and checks whether the policies are in line with the orientation set out above. Its findings are subsequently reflected in the Country-Specific Recommendations that the Commission adopts in May and presents for approval to the European Council in June. The newly introduced Macroeconomic Imbalance Procedure guarantees enhanced monitoring of macroeconomic imbalances with the possibility of sanctions for euro area Member States that do not address these when they become excessive.
Statistics, graphs and public opinion
- Economic governance in graphs
- Background on the Euro Plus Pact and economic overview (December 2011)
- Statistics: Financial turmoil
- Statistics: National accounts
- Statistics: Balance of payments
- Survey (European Parliament): Europeans and the crisis
- Survey (European Parliament): Europeans’ perceptions on the state of the economy
- Survey (Eurobarometer): Economic governance in the EU
- Survey (Eurobarometer): Europeans’ evaluation of the economic situation and main concerns
- Economic sentiment and business climate indicators