Economic and Financial Affairs Council: Extracts from the press conference by the Lithuanian Presidency and the European Commission

Type: News   Reference: i-082410   Duration: 00:04:23  Lieu: Luxembourg (town), Luxembourg - Council
End production: 15/10/2013   First transmission: 15/10/2013
On 15 October, Finance ministers met their counterparts from the EFTA countries – Iceland, Liechtenstein, Norway and Switzerland – to discuss cooperation in the field of financial services and economic dynamics in Europe. Ministers assessed the economic situation. They discussed backstop arrangements for banks in the context of the forthcoming asset quality review and stress test exercises and proposed single resolution mechanism. They also discussed how to accommodate public investment in the preventive arm of the EU's Stability and Growth Pact. The Council was notably prepare the October meeting of the European Council, in particular as concerns access to finance for SMEs. The follow-up to October international finance meetings in Washington DC and the financing aspects of climate policy were amongst other issues on the agenda.

Only the original language version is authentic and it prevails in the event of its differing from the translated versions.
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TIME DESCRIPTION DURATION
00:00:00 Title 00:00:05
00:00:05 Arrival of the speakers 00:00:14
00:00:19 SOUNDBITE by Rimantas Šadžius, Lithuanian Minister of Finance and President in office of the Council (In ENGLISH) saying that: First and I think the most important decision taken today is the finalization of the Single Supervisory Mechanism. By proving 2 regulations we already established this first pillar of future banking union and it is really an important development because all other plans now become a reality. 00:00:25
00:00:44 Cutaway of the speakers 00:00:04
00:00:48 SOUNDBITE by Rimantas Šadžius (In ENGLISH) saying that: This Single Supervisory Mechanism should come into force a year after publication, we expect this could be November next year and within this framework we will already have asset quality review exercise next year but also stress tests of European banks that are performed on a regular basis. 00:00:26
00:01:14 Cutaway of the audience 00:00:04
00:01:18 SOUNDBITE by Olli Rehn, Vice-President of the EC in charge of Economic and Monetary Affairs and the Euro (In ENGLISH) saying that: I welcome the fact that today in the ECOFIN, Ministers endorsed the SME initiative even in if the Commission would have ideally liked to see a greater level of ambition. I now hope that the European Council will give its final approval to the initiative next week in the Summit so that we can start delivering on our commitments to European SME's as soon as possible to see a reduction of borrowing costs and a stronger investment for the sake of sustainable growth and job creation. 00:00:43
00:02:01 General view of the audience 00:00:04
00:02:05 SOUNDBITE by Olli Rehn (In ENGLISH) saying that: My second point concerns productive investment especially the issue on how public investments which support sustainable growth can be accommodated within our fiscal rules. Following repeated requests from the European Council, the Commission has explored this issue very carefully indeed and I set out our conclusions in a letter to Finance Ministers on the 3rd of July. 00:00:32
00:02:37 Cutaway of the speakers 00:00:04
00:02:41 SOUNDBITE by Michel Barnier, Member of the EC in charge of Internal Market and Services (In FRENCH) saying that: I am very confident and I must say it is difficult but possible I believe to reach agreement by the end of the year on the European resolution system. A lot of issues still remain for discussion, we have flexibility on this; my only blue line would be that we need to end up with a system that will actually work to protect tax payers, to make sure that banks pay for banks and that this resolution and prevention system will be up and running and fully operational. 00:00:38
00:03:19 Cutaway of the speakers 00:00:04
00:03:23 SOUNDBITE by Michel Barnier (In FRENCH) saying that: In a constructive spirit, we are hoping to continue working together on some key points which I'll just mention briefly: The Commission's role, I don't have any ideological approach to this, we just need to find a workable solution in legal and political terms; the voting system in the resolution board, the home/host relationship, this is a key issue which we have to manage in a balanced way as we did for the supervision; a strict respect for state budgetary sovereignty; the funding of the system with the European resolution fund and then the guarantees which safeguard which member states will need. 00:00:52
00:04:15 Speakers leaving the press room 00:00:08
00:04:23 End 00:00:00
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