Disruptions like coronavirus (COVID-19) threaten to bring the world economy and social life to a standstill. Its impacts include recessions in the USA, the EU, Japan and other regions of the world, extremely slow growth in China and huge losses in terms of output. Governments have to offset economic damage with fiscal and monetary policies and cope with the expected changes of the economic paradigm. The EESC stresses the need for efficient business models and trade defence mechanisms, in particular with regard to Asia, and notes that 36 million jobs in the EU depend on the EU's exporting potential, and that the share of EU employment supported by sales of goods and services to the rest of the world in relation to total employment increased from 10.1% in 2000 to 15.3% in 2017. The fiscal, economic and social response to the crisis is necessary for preventing its negative impact on these and other sectors.
ETSK:n lausunto: Fostering competitiveness, innovation, growth and job creation by advancing in global regulatory cooperation, by supporting a renewed multilateral trading scheme and by reducing market-distorting subsidies (own-initiative opinion)
The EESC believes that there are well-founded reasons to establish uniform rules within the EU to combat global warming and based on these to embark on international discussions with other trading blocs. Furthermore, the Committee deems that, in the future, it could be useful and necessary to also devise new taxation measures that can supplement the current emissions trading system and national carbon taxes in order to achieve an effective and symmetrical policy framework to tackle the increasing amount of CO2 emissions.
While acknowledging the progress made by the Commission in taking account of smaller and less complex banking institutions in its recent regulatory measures, the EESC believes it would be useful to further increase the proportionality of banking rules, without sacrificing the effectiveness of prudential rules.
The EESC endorses the recent decision to push back the date for implementing the Basel III accord, and feels that when the time comes, the new provision on capital requirements should be transposed in a way that caters properly for the diversity of banking business models in Europe.
The EESC supports the Commission's 'Long-term action plan for better implementation and enforcement of single market rules' and endorses the Communication on Identifying and tackling barriers to the single market.
The EESC believes that the insufficient or inadequate application of EU rules has been the Achilles heel of EU law and that therefore many instances of fraud and illegal behaviour have not been dealt with. It urges the Commission to include in the action plan a clearly defined role for civil society actors, entrepreneurs, workers and consumers.
The EESC welcomes this package of new initiatives in a wide range of areas and advocates a European path to digitalisation by seizing the opportunities for the economy together with the protection of our data to ensure privacy and self-determination.
The EESC strongly supports the Commission's proposal – Next Generation EU – as a specific tool for a quick and effective recovery.
The EESC takes a very positive view of the Commission's two main decisions:
- to introduce an extraordinary financial recovery instrument as part of the multiannual financial framework
- to raise common debt, which will be repaid over a long period of time, and prevent the extraordinary financial burden from falling directly on the Member States in the short run.
The EESC strongly welcomes the fact that the newly proposed instrument should be closely coordinated with the European Semester process, and furthermore welcomes the Commission's proposal to introduce additional genuine own resources based on different taxes (revenues from the EU Emissions Trading System, digital taxation, large companies' revenues).
The opinion will provide guidance on how to build on existing structures like citizens' dialogues and assemblies, social dialogue committees in order to structure and mainstream the dialogue with civil society. It will also make recommendations about how to encourage information sharing and public understanding of climate action; how to create real and virtual spaces for exchange on climate and how to build capacity to facilitate grassroots initiatives, among others.
The unprecedented magnitude of the COVID crisis requires an unprecedented, long-term and unequivocal response. International trade is a vital tool to finance recovery ge get out of the crisis. In these efforts, the EU must stay true to its values and ensure the protection of businesses, workers and people, leaving no one behind. Recovery must be based on sustainability, and inclusive and green growth. Green Deal measures are therefore more relevant than ever.