The economic crisis has prompted intense and sustained action by the EU's national governments, the European Central Bank and the Commission. All have been working closely together to support growth and employment, ensure financial stability, and put in place a better governance system for the future.
This regular report features economic and financial research the euro area by European Commission staff. This issue highlights:
The report analyses the persistently large current account surpluses in a number of EU countries, and assesses whether or not these surpluses may be damaging.
The Fiscal Sustainability Report analyses the sustainability of public finances in the Member States, against the background of the impact of the financial, economic and fiscal crisis and of demographic ageing.
Mr Barroso said: "The financing costs for Italy's 10-year government bonds have reached their lowest level since 2010. This is directly linked to the credibility of the government of Italy and the measures taken. Let me express my hope and confidence that Italy will continue on this path. This is a precondition for the country's return to growth and jobs. The 2013 elections can neither constitute a break nor an excuse for slowing down the reform and consolidation agenda."
Today's decisions by the Eurogroup mark the conclusion of many long months of uncertainty for Greece. They open the way for a return of confidence, of investment, of growth and job creation for the Greek people.
We consider that progress has been made towards a possible macro-financial assistance programme for Cyprus, which foresees a significant financial, fiscal and structural adjustment, as foreseen in the draft Memorandum of Understanding agreed at staff level on 23 November. We welcome that the Cypriot authorities are demonstrating their commitment to such reforms and that the Cypriot parliament has passed a first set of measures that had been agreed with the international institutions.
The Eurogroup formally approved the second disbursement under the second economic adjustment programme for Greece, following the finalisation of the relevant national procedures and after having reviewed the outcome of the debt buy back operation conducted by Greece.
Based on the proposal tabled by the Commission on 12 September, this is a crucial and very substantive step towards completion of the banking union and a timely step forward in the integration of financial supervision for the euro area and for the other Member States which the Commission hopes will also participate.
The proposals involve two regulations: one conferring supervisory tasks on the European Central Bank, the other modifying regulation 1093/2010 establishing the European Banking Authority
The Commission/ECB/IMF mission met with the Greek authorities in Athens between 3 July and 17 October 2012 and assessed compliance with the terms and conditions of the Economic Adjustment Programme and discussed a new policy package.
As Finance Minister Shiarly said, today’s ECOFIN addressed several important issues and I will refer to two of them, two proposals that are of fundamental relevance to our efforts to restore confidence and to lay the foundations for a deep and genuine EMU.