2 Amendments of Herbert REUL related to 2015/2344(INI)
Amendment 74 #
Motion for a resolution
Recital F
Recital F
F. whereas, following real convergence in the run-up to the introduction of the common currency, the euro area witnessed structural divergence between 1999 and 2009, which made the euro area as a whole less resilient to shocks; whereas regulatory adjustments and structural reforms aimed at reducing risks and improving convergence have been introduced since 2009 at both European and national level, but some euro area Member States still require solidarity and sustainable reforms in their catching- up process; re has been no process of real convergence among the countries that adopted the euro between 1999 and 2009, due to the fact that some countries did not sufficiently reform to improve their productivity and competitiveness, but increased public spending without investing in a sustainable manner; whereas the causes of structural divergence between euro area Member States were numerous: convergence of government bond yields led to an artificially low level of interest rates, which disclosed discrepancies in competitiveness between countries and eliminated incentives to reform, improve competitiveness and budget responsibly; whereas low interest rates triggered irresponsible behaviour on the part of some euro countries, which took advantage of the free rider effect of low interest rates and increased salaries and public expenditure without simultaneously increasing productivity, and therefore worsened the competitiveness of their economies; whereas not respecting and enforcing the rules of the SGP left several euro countries without fiscal margins to counter the crisis, in addition to macroeconomic imbalances accumulating inside several euro countries over decades, both being crucial elements leading to the sovereign debt crisis; whereas weak institutions, structural rigidities, weak productivity growth and insufficient policies to address asset price booms made the euro area as a whole less resilient to shocks; whereas economic mismanagement at national level was a reason for the worsening of the crisis, not the euro as a currency; whereas regulatory adjustments and structural reforms aimed at reducing risks and improving convergence have been introduced since 2009 at both European and national level, but several factors still appear crucial for ensuring real convergence in the EMU, such as macroeconomic stability, sound fiscal policy, a high degree of flexibility in product and labour markets, favourable conditions for an efficient use of capital and labour in the economy, supporting total factor productivity growth, economic integration within the euro area, and a more active use of national policy tools to prevent asset price and credit boom-bust cycles; whereas some euro area Member States still require solidarity and sustainable reforms in their catching-up process, provided by the European Union through European structural and investment funds to foster convergence in addition to the implementation of instruments during the crisis, which prevented the collapse of the economy, in an effort of securing jobs, fostering investment and growth as well as safeguarding the savings of citizens;
Amendment 88 #
Motion for a resolution
Recital G
Recital G
G. whereas substantial progress has been achieved in addressing the flaws ofimproving and strengthening the governance of the EMU through legislation such as the Six-Pack and the Two-Pack regulations, as well as through the introduction of the European Semester and the creation of new instruments such as the ESM, the Treaty on Stability, Coordination and Governance (TSCG) including the Fiscal Compact and the Euro-Plus Pact, thereby making the EMU more resilient against possible shocks in the future, however, these instruments cannot fulfil their function if they are not enforced;