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This opinion focuses on the reform and investment measures in the Member States, in particular those based on the Country-Specific Recommendations 2023, and their implementation, in order to assess the effectiveness of these measures and the possibilities for better targeting of proposals, improved implementation and the monitoring and involvement of organised civil society in the procedures. This opinion also looks at issues concerning the ongoing reform of the EU’s economic governance rules, the central objective of which is to strengthen public debt sustainability while promoting sustainable and inclusive growth in all Member States through reforms and investment. Moreover, the opinion continues the previous consultation exercises by examining the state of the implementation of the reforms and investments provided for in the national Recovery and Resilience Plans and which are financially supported by RRF funds.

At the request of the Belgian Presidency of the Council of the EU, the EESC is drawing up this opinion to suggest recommendations on how to tackle inequalities, foster upwards social convergence and strengthen social security systems and ensure its long-term affordability, in an EU economic governance framework/European Semester defined around debt sustainability, productive investments and reforms. This opinion is also focusing on the implications of such a framework for the European Semester, and the further strengthening of the social pillar herein. Finally, the opinion also looks at ways of continuing to further develop fiscal instruments that have a stabilising role at the European level, based e.g. on the experience of SURE.

Every year in February, the EESC adopts an opinion on Annual Sustainable Growth Survey, which the Commission usually presents at the end of November in the year before. This communication outlines the economic and employment policy priorities for the EU for the following 12 months, with a view to mitigating the negative impacts of the energy shocks in the short term and to foster sustainable growth and increase the EU’s resilience in the medium term. The structured approach, like in previous years, centres around the four dimensions of competitive sustainability and in line with the United Nations Sustainable Development Goals. The ASGS also continues to guide Member States in the implementation of the national Recovery and Resilience Plans (RRPs). The EESC's opinion on the ASGS 2024 is due to be adopted at the plenary session of 24-25 February 2024.

As committed during the negotiations on the long-term EU budget 2021-2027, the European Commission has on 20 June 2023 completed its proposal for a next generation of own resources. The package includes a new temporary statistical own resource based on company profits. The Commission  also proposes to adjust the own resources proposals based on the Emissions Trading System (ETS) and Carbon Border Adjustment Mechanism (CBAM) compared to the original proposals from December 2021.  

Every year in February, the EESC adopts an opinion on Annual Sustainable Growth Survey, which the Commission usually presents at the end of November in the year before. The Committee works under tight deadlines, in anticipation of the referral, to finalise the opinion before the March Council discussion on the topic. To reinforce the Committee's impact throughout the entire European Semester, an own-initiative opinion with additional considerations is regularly produced by October taking into account the overall European Semester, which plays a central role in implementing the Recovery and Resilience Facility and is vital in current discussions about the review of the EU macro-economic governance framework.

The EESC welcomes the simpler and more transparent economic governance framework, the reduction of the pro-cyclical bias, the improvement in national ownership and strengthened enforcement, the differentiation and more tailored fiscal adjustment path of each Member State, based on a common-risk framework. However, the Committee proposes replacing the requirement obliging any Member State with a budget deficit of over 3% to cut that deficit by an average of 0.5% of GDP annually, and emphasises that the "technical trajectory" should be first in the hands of national governments and, at a second stage, be the result of a technical dialogue with the European Commission In due course. In due time, but by 2026 at the latest, an EU fiscal capacity should be established to meet at least some of the investment needs for common priorities and to allow Member States the fiscal space to meet the fiscal costs of the multiple transitions.

The EESC has issued key recommendations for the mid-term revision of the Multiannual Financial Framework (MFF) 2021-2027. The Committee calls for a prompt agreement on the MFF revision still this year, to guarantee continued financial backing of Ukraine and financing the EU´s evolving political priorities. However, the EESC criticizes the proposed changes as being too limited and lacking ambition, resembling mere patches. It advocates for long-term strategies centred on fiscal sustainability, efficient resource allocation, and measures to guard against unexpected events. Civil society should be engaged for effective planning and monitoring of MFF programmes.

The focus of current informal discussions in the Council is on how cohesion policy can adjust to the new circumstances following the unforeseen shocks that Europe has faced in the last years without losing its long-term development goals. The Spanish Presidency refers to "Cohesion policy 2.0" in this context, which particularly means that cohesion policy needs to be transformed and become more modern and flexible. Also, it will need to take into account the RRF which will come to an end at some time.