In its opinion on the Euro area's economic policy for 2021, the European Economic and Social Committee welcomes the Commission's recommendations, but calls for a shift in fiscal rules towards a more prosperity-oriented form of economic governance, including a golden rule for public investment.
European Economic Area
The European Economic Area (EEA) brings together the EU Member States and the three EEA EFTA States (Iceland, Liechtenstein, and Norway) in an Internal Market governed by the same basic rules. These rules aim to enable goods, services, capital, and persons to move freely about the EEA in an open and competitive environment. The Agreement on the European Economic Area entered into force on 1 January 1994.
The European Economic Area Consultative Committee (EEA CC) held on 18 September 2020 its 28th annual meeting to discuss two resolutions linked to the implementation of the Green Deal initiative and the EU’s New Industrial Strategy. The members of the EEA CC, which represents employers, workers, and other civil society players of EEA member states, agreed on the need to extend the Green Deal to the entire EEA to achieve a more sustainable single market.
- European Green Deal must lead to more economic prosperity and convergence
- Sustainable growth must be a top priority
- Measures to close the investment gap are essential
The EESC draws forward-looking conclusions from the 2019 Semester and the Committee's civil society consultations in the Member States
At its plenary session in July, the European Economic and Social Committee presented proposals for the economic agenda of the upcoming legislative period (2019-2024) and recommended that they should form the basis of a new European economic strategy. The Committee's proposals seek to develop more resilient and sustainable EU economic policies within an improved governance framework for the Economic and Monetary Union.
The euro ranks second in the world as a reserve currency and as a currency used for fixed income securities issues and international trade transactions. However, its use internationally has yet to return to levels before the financial crisis, and its future role in the international monetary system is tied to the economic prospects of the euro area.
- Economic resilience and labour market resilience must go hand in hand
- Commitment to deepening EMU through stabilisation and upward convergence is crucial
- Urging Member States into contractionary fiscal stances may be problematic