6.8.2009   

EN

Official Journal of the European Union

CE 184/38

A.

whereas macroeconomic stability is secured by a sound mix of a number of economic policies; whereas challenges to stability should be addressed not only by way of macroeconomic measures but also by the implementation of structural reforms in goods, labour and capital markets,

B.

whereas more remains to be done to prepare the European Union and Member States for globalisation and strengthen foundations for economic success and more social cohesion in the medium to longer term,

C.

whereas there is an opportunity to ‘capitalise for everybody’ on the momentum of the unique competitive advantage derived from the enlargements of the European Union and its further integration,

D.

whereas sharing a common currency and a common monetary policy offers an extra dimension for integrating economies and coordinating policy strategies that could strengthen the role of the euro area in delivering growth and jobs for the whole European Union,

E.

whereas the integrated guidelines are a central instrument of EU macroeconomic policies for growth and jobs, focusing on a medium-term period of three years,

F.

whereas the European Union and Member States must carry out macroeconomic as well as microeconomic policies to make Europe a more attractive place in which to invest and work and to boost knowledge and innovation for growth,

G.

Whereas the European Union committed itself at the 2007 Spring European Council to quantitative targets for greenhouse gas reduction and an increased share of renewable energies by 2020,

H.

whereas financial services are particularly important since this sector plays a key role as an enabler in the development of so many areas of economic activity,

I.

whereas policies aimed at increasing investment in knowledge and human resources as well as those strengthening the innovation capacity of the EU economy are at the heart of the Lisbon strategy for growth and jobs,

J.

whereas economic conditions for converting the creative energy of people into innovative economic results, e.g. new ideas, high-tech businesses and regional development, are insufficiently developed and remain fragmented,

K.

whereas in the context of accelerated globalisation, improved international consistency of legislative provisions, including a commitment to high environmental and social standards, is of decisive importance,

L.

whereas the stability of and trust in the European Union can be ensured only through the common understanding of legislation and rules that properly reflect reality,

M.

whereas it is not possible to achieve substantial progress in creating a knowledge-driven society without the active involvement of all EU citizens,

1.

Welcomes the Commission's Strategic report assessing the implementation of the renewed Lisbon strategy for growth and jobs, including updated Integrated Guidelines; supports the Council's view that the renewed strategy must add value at Community level to improve the coherence of reforms and maximise positive spill-over effects and ensure that the Lisbon reform agendas effectively result in more and better jobs throughout the European Union;

2.

Underlines, once again, the importance of a vigorous implementation of the Lisbon strategy and the Integrated Guidelines, emphasising the interdependence of economic, social and environmental progress in creating a dynamic and innovative sustainable economy;

3.

Considers that growing imbalances, aggregate demand and global inflationary pressure may become a significant challenge for monetary policy given the prolonged uncertainty on financial markets; underlines that a healthy and stable macroeconomic environment requires high-quality public finances with budgets that are further consolidated, and an intelligent private and public investment policy that delivers forward-looking infrastructure and opens up tomorrow's markets today; calls for coordinated action to increase the resilience of the EU economy;

4.

Believes that sound economic policies would help to strengthen confidence and reduce uncertainty in the current financial turmoil; considers that for 2008, the European Union needs to enhance its growth potential in order to be able to generate employment, particularly in the light of its enlargement to 27 Member States;

5.

Points out that in the interest of macroeconomic stability, the rise in productivity must go hand-in-hand with a fairer distribution of the benefits of growth and a strengthening of social cohesion; draws attention, in this connection, to the call for the rise in incomes to keep pace with medium-term growth in productivity;

6.

Stresses that growing financial imbalances and excessive volatility of exchange rates as well as the credit squeeze and the prolonged uncertainty on financial markets are a significant challenge for macroeconomic policy makers and monetary policy in particular;

7.

Points out that increased attention should be paid to better synergies between budgetary policy, wages and productivity growth while also considering the implications of budgetary policy on macroeconomic developments;

8.

Is concerned about the high levels of the euro exchange rate that harm the competitiveness of the European economy and that, at those levels, reduce the margin of manoeuvre for monetary policy; supports the independence of the European Central Bank in setting monetary policy and emphasises that the appreciation of the euro exchange rate is the result of mounting imbalances in third countries and a lack of internal demand in the euro area;

9.

Stresses the need for a sound fiscal policy as a pre-condition for sustained growth and job creation in each Member State in line with the relevant provisions of the Treaty as common responsibility of the European Union; underlines the high importance of public finance efficiency and considers that in most countries consolidation of public finances could help keep intact long-term fiscal sustainability; underlines the importance of modernising public administration as a tool for improving the efficiency and effectiveness of public finances;

10.

Points out that a well-integrated financial system might enhance the efficiency of monetary policy, especially in the euro area; believes that financial markets can make a substantial contribution to macroeconomic and fiscal sustainability; suggests examining specific financial market guidelines linked to an improved understanding of possible further financial crises and to improved transparency, responsibility and supervision for investors, markets and regulators;

11.

Notes that the risk-based approach in capital requirements facilitates cross-border capital flows driven by specific corporate strategies in big financial groups and poses a macroeconomic challenge for smaller Member States; is strongly convinced that effective financial supervision and transparency are essential in order to contain macroeconomic imbalances;

12.

Stresses the interdependence of Member States' economies, especially in the euro area; considers that the Integrated Guidelines should set a broad framework for closer economic policy coordination to align NRPs; suggests that, in doing so, a more sensitive approach towards convergence, which reflects economic diversity and differing traditions in order to strengthen broad-based support for the common EU project;

13.

Takes the view that stimulating private investment and joint initiatives in the area of private and public cooperation, while respecting financial consolidation, can unleash substantial synergies, improve Europe's ability to meet the existing challenges in the fields of science and research, transport and communication, energy and environmental sustainability and will support the efficient allocation of resources throughout Europe;

14.

Highlights that a deregulated global financial system is beyond the direct influence of EU policies and can transmit a risk of financial instability; stresses that a homogeneous and coherent approach of regulators and legislators is a necessary prerequisite to counterbalancing the cross-border spread of risk; believes that it is necessary to re-assess the impact of the business model and role of multinational financial groups on global financial markets;

15.

Points out that the European Union and the Member States have a shared responsibility for addressing the challenges, opportunities and uncertainties facing citizens as a result of globalisation; is convinced that in order to promote European competitiveness in a globalised world, the external dimension of the internal market must be developed; recalls that the European Union will not merely adapt passively to globalisation, but will, on the contrary, shape globalisation; underlines the importance of enhanced strategic cooperation at international level, particularly through the transatlantic relations, and working together within stronger multilateral organisations by promoting core EU principles — solidarity, democracy, rule of law and respect for human rights;

16.

Calls for measures to be taken to combat protectionism both inside and outside the European Union; stresses that protectionism undermines rather than protects the rights of consumers and citizens;

17.

Considers that the European Union should demonstrate, in the course of multilateral rounds of various multilateral negotiations such as those of the WTO, the common view which really shares the interests of every single Member State;

18.

Urges the Commission to develop a consistent integrated policy towards sustainable development; believes that the sustainable use of resources and strengthening the synergies between environmental protection and growth as well as improving innovative performance can by achieved by encouraging the development and use of environmentally friendly technologies, and ‘greening’ public procurement, with particular attention to small and medium-sized enterprises (SMEs);

19.

Stresses the role of market-based instruments (MBIs) to deliver the targets set at the 2007 Spring European Council to transform Europe into an energy-efficient and renewables-based economy; considers that continued upward pressure on energy prices and accumulating threats to the climate mean that it is important to promote energy-efficiency improvements as a contribution to both growth and sustainable development; points out that EU companies are among the world leaders in developing renewable energy technologies;

20.

Welcomes the proposal by the Commission to establish a ‘fifth freedom’ namely research and innovation — the freedom of knowledge — complementing the four freedoms of movement of goods, services, people and capital;

21.

Considers that in the context of rising food prices that appear to be permanent rather than cyclical, the mechanisms of the Common Agricultural Policy (CAP) that constrain supply should be revised; believes that the CAP can play a key role in stabilising food prices;

22.

Reiterates its view of the benefits of shifting the tax burden from labour to environmental degradation as an effective way to address both environmental and employment issues and is of the opinion that the burden on labour has to be diminished to create more jobs and fight the black economy;

23.

Points out that as a result of the failure to complete the internal market, EU productivity is lagging behind its potential and does not allow the full exploitation of global market opportunities; considers that while the internal market for goods is relatively well integrated, services markets, including financial services, remain rather fragmented; calls for accelerated integration of the services market by the consistent and coherent implementation and enforcement of the agreed rules and the removal of obstacles to competition and market entry; notes that the delivery, at affordable prices, of effective services of general economic interest has an important role to play in a competitive and dynamic economy;

24.

Emphasises that the implementation of the four freedoms should be carried out in the same way and to the same extent across European Union and that their functioning should be constantly monitored;

25.

Stresses the necessity to open up the network industries for competition by ensuring a level playing field and effective competition in European-wide integrated markets; in this sense, believes that public ownership in the electricity and gas markets is one of the main elements leading to distortions at the European level, and that the stimulus for competition in those markets must be further improved; is convinced that expansion, improvement and linking up European infrastructure, especially focusing on cross-border projects and interconnection between old and new Europe, should help to develop adequate conditions for substantial improvement in productivity in the transport, energy and ICT sectors;

26.

Notes the need for a coordinated fiscal framework, which should be favourable to companies, in particular SMEs, and geared to renewing growth and generating employment;

27.

Points out that, in terms of state funding, the European Union must promote tax arrangements in order to encourage the creation of new businesses and technological innovation; notes that this might involve, inter alia, a reduction in taxes that undermine efficiency and job creation, particularly for specific social groups such as women, the long-term unemployed and the elderly;

28.

Is convinced that it is crucial for promoting an entrepreneurial culture and creating a supportive environment for SMEs that the governance system of an institutional framework for innovation is streamlined, underpinned by an efficient funding system that provides funding during all stages of the innovation process, from the development of an idea to its implementation at enterprise level; points out that structural policy must be drafted in a flexible way to accommodate the creative self-expression and facilitate a gainful utilisation of creative ideas;

29.

Strongly believes that better regulation and the implementation of ambitious targets in reducing the burden arising from new EU legislation contributes to a more competitive business environment and encourages private initiative; calls on Member States to set equally ambitious targets stemming from all levels of national legislation; points out that particular attention must be paid to strengthening the efficiency of institutional and administrative capacity of Member States;

30.

Considers that active labour policies should combine policies focused on ‘flexicurity’ with new forms of security, including motivation for active job searching as well as better anticipation and positive management of change, including economic restructuring, to minimise social exclusion and facilitate adaptability; is convinced that particular attention should be focused on ways in which to reach citizens more effectively and address their expectations and needs;

31.

Considers that the life-cycle approach should be developed to encounter demographic challenges actively, including the modernisation of pension systems, to ensure financial, economic and social sustainability;

32.

Believes that education is a key determinant of long-term growth potential and an effective instrument to fight poverty and exclusion and enables people to improve living standards; recommends that more effective measures be implemented by the European Union and Member States to make a higher investment in education and improve access to education and training for all;

33.

Is of the opinion that, with a view to enhancing participation in continuous and workplace training throughout the life-cycle, especially for low-skilled and older workers, efficient life-long learning strategies can counter-balance the negative impact of the ageing EU work force; considers, however, that a determined effort must be made to raise the basic skills of young people, drastically reduce early school leaving and the underdevelopment of skills in general, and reinforce the social and labour integration of migrants and disabled people, in particular by fostering skills development;

34.

Is strongly convinced that an effective immigration policy should be considered in the light of skills shortages and labour market requirements; believes that further developing a comprehensive European migration policy complementing Member States' policies remains a fundamental priority in order to meet the challenges and harness the opportunities which migration represents in a new era of globalisation;

35.

Considers that promoting growth and cooperation with third countries, and further economic openness of the European Union, remains vital for the purpose of well-managed migration flows and the fight against the causes and facilitators of illegal immigration; admits that the European Union urgently needs a coherent policy for legal migration, such as economic migration;

36.

Welcomes the country reports drawn up by the Commission; calls, however, for a more systematic approach, which highlights successes as well as shortcomings; supports the Commission's proposal to introduce particular points to watch as part of multilateral surveillance as well as a chance to improve national policy responses; acknowledges that the role of the regional level in delivering growth and jobs should be increased, as it is recognised in the new generation of programmes of the cohesion policy covering the period 2007 to 2013;

37.

Regrets the fact that the visibility of the Lisbon Strategy remains weak in the national politics of many Member States; takes the view that the mobilisation of all economic stakeholders is essential to ensure its effective implementation; in particular, believes that a better involvement of the social partners, national parliaments, regional and local authorities as well as civil society will improve the results of the Lisbon Strategy and enhance the public debate on appropriate reforms; supports the Commission's proposal to the Member States to deepen the collaboration with national and regional parliaments while providing for annual debates on the implementation of their NRPs;

38.

Calls on the Council to take account of the following modifications:

39.

Instructs its President to forward this resolution to the Council and the Commission, and the governments and parliaments of the Member States.