The EESC regrets, that the Commission has once again refrained from presenting the Annual Sustainable Growth Survey (ASGS) and stresses that sustainable economic growth is a necessary condition for Europe to meet its multiple commitments, welcomes the European Macroeconomic Report, which provides a deep dive into the underlying structural challenges facing the EU and the new recommendation on human capital, which is a crucial element in filling the EU technological gap, also taking into account the EU demographic challenge. The Committee reiterates its call for more robust commonfiscal capacity, supported by targeted issuances of joint debt, to help fill this growing gap in public investment, and for permanent macroeconomic stabilisation instruments to address shocks.
Download — Avizul CESE: 2026 European Semester – Autumn Package
The EESC expresses concerns over rising geopolitical risks, unstable trade dynamics, and the investment deficit in Europe, stressing the need to strengthen EU competitiveness and enhance defence capabilities. The Committee also believes that it is necessary to adopt a set of measures to strengthen investment by ensuring the implementation of all Recovery and Resilience Facility (RRF) funds, with the new targets and, if necessary, deploying unused funds for new investment programmes in European public goods, creating a European Fund for Strategic Investment, strengthening the EIB's lending capacity to expand InvestEU and exploring the possibility of using European Stability Mechanism funds.
This own-initiative opinion constitutes the contribution of the ECO section to the 2025 EESC transversal own-initiative opinion package on the cost-of-living crisis, looking at specific economic policy measures that can help make the European economy future-proof.
With the launch of the 2025 European Semester cycle the European commission has published the "2025 European Semester - Autumn package" in December 2024. The 2025 European Semester - Autumn Package outlines economic and social policy priorities for the EU to ensure sustainable prosperity and competitiveness. It highlights the EU’s recent resilience while emphasizing the need to address structural barriers to growth. The EU is committed to ensure sustainable prosperity and competitiveness while strengthening its social market economy and safeguarding its sovereignty, economic security and global influence. The EESC's opinion on the 2025 European Semester - Autumn package is due to be adopted at the EESC plenary session of February 2025.
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.
Download — Avizul CESE: Boosting long-term inclusive growth through reforms and investment
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.
Download — Avizul CESE: Additional considerations on the Annual Sustainable Growth Survey 2023
This year’s Annual Sustainable Growth Survey (ASGS) outlines the policy priorities in the coming year and provides guiding principles for implementing them in the 2023 European Semester cycle. This survey takes into account the systemic shocks facing the EU, which are undermining the first signs of recovery from the COVID-19 pandemic, and sets out strategic guidance. These pursue the EU policy objectives of the green and digital transition and are structured around the four dimensions of competitive sustainability, in line with the Sustainable Development Goals. The ASGS 2023 also continues to guide Member States in the implementation of the national Recovery and Resilience Plans (RRPs).
The EESC strongly believes in the importance of the next Semester cycle as a key instrument for implementing the Recovery and Resilience Facility.
However, it is still concerned about the lack of clarity in most Member States as regards their National Recovery and Resilience Plan governance systems and the distribution of responsibilities for their implementation.
The EESC would also draw attention to the need to measure progress in implementation, for which good monitoring indicators are needed; in this connection it welcomes the "Recovery and Resilience Scoreboard" initiative.
Moreover, the COVID-19 crisis has highlighted the need for a strong industrial policy to avoid dependence on other economic zones for many products and services.
The EESC wants to see real action in this respect by Member States, in terms of investment in education, infrastructure and industrial policy to raise employment and boost European industry.
The EESC welcomes the fact that the Recovery and Resilience Facility regulation confirms the importance of genuine civil society involvement in the development of national plans and advocates for the establishment of binding conditionality for such consultation. To support economic development the EESC considers the full operation of the Single Market as well as fiscal policies and support measures crucial, while calling for the establishment of new fiscal rules that reflect social and economic realities after the pandemic. New instruments to combat tax evasion, undeclared work and the shadow economy are also called for. The EESC also welcomes the inclusion of the green and digital transitions, but regrets the insufficient attention paid to social issues. Efforts to move rapidly towards a green and digital economy must not result in a further increase in poverty and greater social exclusion.
This additional opinion updates and complements the proposals made in the original ASGS opinion, adopted in February this year. The EESC welcomes the step forward towards embracing a more social, inclusive and sustainable economic model, particularly given the economic and social effects of COVID-19. To support the economic recovery and public investment, and in support of a digital and green transformation, the EESC believes that a revision of the Stability and Growth Pact, flexibility in state aid rules and a rethink of tax policy is necessary. Well-resourced public health measures and social security systems are likewise of vital importance. The EESC also welcomes the Commission's proposals for Next Generation EU and sees the ASGS as an opportunity for the EU to shift towards an economic model that gives equal weighing to both economic and social objectives.
The EESC welcomes the approach taken by the annual growth strategy for 2020, based on the four key pillars that are the environment, productivity, stability and fairness and also welcomes the inclusion of the United Nations' 2030 Sustainable Development Goals. It also welcomes the fact that social rights are highlighted in the 2020 growth strategy and hopes that special attention will be given to the gender issue. Long term investment in education, training and skills development and to boost research and innovation, with increased funds earmarked for them, is absolutely crucial and decisive for the EU competitiveness. The greatest priority of all is to restore sustainable growth, above all in the weakest countries and regions. Finally, the EESC agrees on the need to strengthen the stability and resilience of the financial system and tighten the rules governing the financial markets.
This additional opinion complements and updates the proposals made in the yearly EESC AGS opinion. The EESC welcomes country-specific recommendations focus on investment and underlines that special attention must be paid to productive investments and investment in social infrastructure to prioritise sustainable growth. Next year's cycle should contain more CSRs to combat the existential threat of climate change. Investment would also be needed to enable the implementation of the social pillar to prevent an increase of social, economic, and environmental inequality. Taxation should favour this type of investment.
The EESC welcomes the reforms aimed at increasing high-quality investment and productivity growth, inclusiveness and institutional quality, and to ensure macro-financial stability and sound public finances. The EESC also welcomes the recognition of the need for investment focused on education and training and the need to strengthen the EU’s social dimension. However, it remains to be specified how these objectives are to be achieved. The EESC underlines that progress is very slow and proposals often rather modest in areas where new policies have been proposed, including fair taxation, the banking union and the functioning of the euro area. Moreover, the EESC recognises the importance of addressing climate change but measures so far adopted remain insufficient.
