EU annual growth survey 2015

Having experienced the 2007-2008 economic and financial crisis, the European Union is now focusing on boosting its weak economy. In its 2015 annual growth survey the European Commission laid out an integrated approach to support job creation and to put the EU back on a sustainable growth path.

ACT

Communication from the Commission to the European Parliament, the Council, the European Central Bank, the European Economic and Social Committee, the Committee of the Regions and the European Investment Bank: Annual growth survey 2015 (COM(2014) 902 final of 28.11.2014).

SUMMARY

WHAT DOES THE COMMUNICATION DO?

The annual growth survey for 2015 sets out the EU’s approach to boosting growth based on investment, structural reforms and growth-friendly fiscal policies.

KEY POINTS

A boost to investment

Since the 2007-2008 financial crisis, investment in the EU has fallen by approximately €430 billion. To spur investment, the Commission has launched a plan that comprises the following.

• The setting up of a European Fund for Strategic Investments, such as in infrastructure. The aim is to attract private investment totalling at least €315 billion over 3 years.
• Actions to help to channel capital through the real economy. These include measures to clarify and simplify the relevant legislation and to develop new sources of financing other than banks.

Commitments to structural reforms

Reforming and modernising the EU’s economies is key to bringing the EU back to growth. Structural reforms in several areas have much to contribute to this goal.

• At country level: the Commission recommends that countries pursue key reforms in several areas including modernising labour markets, tackling high levels of unemployment, ensuring sustainable pensions and social protection systems, improving conditions for businesses and making public administration more efficient.
• At EU level: the Commission recommends taking actions to remove national barriers to create genuinely EU-wide markets in key sectors such as energy, telecommunications and transport, as well as for goods and services.

Pursuing fiscal responsibility

European countries need fiscal policies that are tailored to the national situation. The growth in government debt must be reversed. Government spending and revenue structures have to support growth and investment. Tax fraud and evasion also need to be addressed.

Streamlining European economic governance

The 2015 annual growth survey launched the annual cycle of European economic governance (European semester), which consists of the surveillance of national fiscal, macroeconomics and structural policies at the European level. The Commission is proposing to streamline and reinforce this governance. This should enhance national ownership of the reform process and strengthen the implementation of the necessary reforms.

For more information, see the European Commission’s annual growth survey webpage.

last update 08.05.2015