Activities of Karima DELLI related to 2020/2075(INI)
Plenary speeches (1)
Review of the macroeconomic legislative framework (debate)
Shadow reports (1)
REPORT on the review of the macroeconomic legislative framework for a better impact on Europe’s real economy and improved transparency of decision-making and democratic accountability
Amendments (44)
Amendment 50 #
Motion for a resolution
Paragraph 1
Paragraph 1
1. Welcomes the Commission communication of 3 March 2021 entitled ‘One year since the outbreak of COVID- 19: fiscal policy response’ and takes note of the proposed conditions for deactivating the general escape clause (GEC); both social and health investments have been being of major importance since the outbreak of COVID-19; therefore highlights that deactivation of the GEC shouldall be conditional upon the health, social and economic situation across Member States in order to ensure that fiscal support is provided for as long as needed;
Amendment 76 #
Motion for a resolution
Paragraph 3
Paragraph 3
3. Calls on the Commission to put forward guidelines for a transition period until the new fiscal framework is in place, during which time no excessive deficit procedure shouldall be activated and with the possibility to use the ‘unusual event clause’ on a country-specific basis to prevent premature fiscal consolidation;
Amendment 85 #
Motion for a resolution
Paragraph 4 a (new)
Paragraph 4 a (new)
4a. Underlines that if spending financed by NGEU loans does not benefit from special treatment in the EU fiscal framework, borrower countries will have to reduce their non-NGEU spending once the currently suspended fiscal rules are re-activated; suggests, therefore, to treat all NGEU-financed expenditure as one- off and exclude it from the structural balance as well as the expenditure benchmark;
Amendment 105 #
Motion for a resolution
Paragraph 6
Paragraph 6
6. Calls on the Member States to embed the high-quality fiscal support in credible medium-term frameworks, bearing in mind that emergency measures are temporary, limited and targeted; calls on the Member States to monitor fiscal risks, namely contingent liabilities, as appropriate; recalls the growing importance of monitoring sustainability related fiscal risks;
Amendment 133 #
Motion for a resolution
Paragraph 8
Paragraph 8
8. Stresses the importance of complementarity and coordination between monetary and fiscal policies to deliver the required support post-COVID- 19; considers that the low interest rate environment hvas implications for fiscal policytly increases the margin of manoeuvre for fiscal policy, but simultaneously increases the need for fiscal policy to take a stronger role in view of the limits of monetary policy tools at the effective lower bound of interest rates; warns against a premature tightening of monetary and fiscal policy;
Amendment 150 #
Motion for a resolution
Paragraph 9
Paragraph 9
9. Underlines that structural factors are likely to keep rates low in the long term; considers that macroeconomic policies and reforms favouring sustainable investment and fair distribution should address the factors underlying secular stagnation;
Amendment 189 #
Motion for a resolution
Paragraph 12
Paragraph 12
12. Stresses that debt service costs are expected to remain low for the foreseeable future and primary deficits are likely to be offset by favourable interest-growth differentials; further considers that as long as thsuch negative differentials are negative it is possible to sustain and progressively reduce high debt levelspose a favourable environment for public investment and debt sustainability;
Amendment 191 #
Motion for a resolution
Paragraph 12 a (new)
Paragraph 12 a (new)
12a. Considers that growth is not an objective in itself as meeting the goals of the Green Deal and Paris agreement requires targeted fiscal efforts;
Amendment 201 #
Motion for a resolution
Paragraph 13
Paragraph 13
13. Recalls the importance of growth- enhancing policies and public investment aimed at increasing growth potential and achieving the EU’s objectives, including the green and digital transition, as well as the goals of the Paris Agreement;
Amendment 209 #
Motion for a resolution
Paragraph 14
Paragraph 14
14. Stresses the importance of pursuing a broad and transparent DSA in order to set an appropriate country-specific path, taking into account demographic factors and their effects on savings rates, pension systems and using innovative tools and techniques such as stress tests and stochastic analysis to better reflect risks to public debt dynamics;
Amendment 226 #
Motion for a resolution
Paragraph 15 a (new)
Paragraph 15 a (new)
15a. Underlines that the 60 percent debt limit and the 3 percent nominal deficit ceiling, introduced in Maastricht, and enshrined in the Treaty on the Functioning of the European Union (TFEU) have never been grounded on sound economic justifications; considers such numerical thresholds inappropriate and unconducive to the Union’s objectives, notably reaching the goals of the Paris agreement, the European Green Deal, the European Pillar of Social Rights and the Sustainable Development Goals, the European Pillar of Social Rights and the Sustainable Development Goals; calls for a revision of the EU Treaties in a way that eliminates such thresholds;
Amendment 227 #
Motion for a resolution
Paragraph 15 b (new)
Paragraph 15 b (new)
15b. Stresses that the EU fiscal framework needs to be substantially revised prior to the deactivation of the GEC as the application of the Stability and Growth Pact as it stands would jeopardise both the post-Covid recovery and the required transition to a carbon neutral economy, while in certain cases seriously undermining debt sustainability;
Amendment 246 #
Motion for a resolution
Paragraph 16
Paragraph 16
16. Calls for the renewed fiscal framework to promote sustainability and cyclical stabilisation and to improve the quality of public expenditure through sustainable investments and refincluding in the social and health sectorms; calls for well- defined, transparent, simple, flexible and enforceable rules embedded in a credible and democratic framework that take into account the specificities of Member States and promote upward economic and social convergence;
Amendment 254 #
Motion for a resolution
Paragraph 17
Paragraph 17
17. Suggests focusing the fiscal targets on the achievement of a single credible debt anchor aimed at reducing high debt ratios in a realistic and reasonable period of time and differentiated according to the existing debt level of the Member Stat; stresses the need of country specific debt adjustment paths taking into account both macroeconomic indicators, such as initial level of debt, prevalent interest rate growth differentials, as well as a number of more qualitative criteria such as costs of ageing population on health, pensions systems and environmental challenges;
Amendment 289 #
Motion for a resolution
Paragraph 21
Paragraph 21
21. Proposes, in line with the EFB, ‘ one general escape clause, triggered based on independent economic judgement’;
Amendment 291 #
Motion for a resolution
Paragraph 21 a (new)
Paragraph 21 a (new)
21a. Underlines that public investments has been a major victim of European fiscal consolidation efforts after the 2008 global and the subsequent euro-area crises;
Amendment 292 #
Motion for a resolution
Paragraph 21 b (new)
Paragraph 21 b (new)
21b. Considers that the “investment clause” enshrined since 2015 in the EU fiscal framework as too narrow and restrictive given that it has offered marginal flexibility in the cases of the two countries (Finland, Italy) that applied for it;
Amendment 304 #
Motion for a resolution
Paragraph 22
Paragraph 22
22. Shares the EFB’s opinion that sustainable growth-enhancing public investments should be exempt from the expenditure rule, in particular those investments that are aligned with the EU’s long-term objectives of the NGEUupports that investments in activities defined as sustainable under the Taxonomy regulation shall receive favourable treatment in the EU fiscal framework;
Amendment 314 #
Motion for a resolution
Paragraph 23
Paragraph 23
23. Stresses that governments’ revenues are essential to guarantee the sustainability of public finances; calls on the Member States to take action to tackle tax fraud, tax avoidance, and tax evasion, as well as money laundering; notes that the economic recovery and the climate crisis have increased the need to mobilise more resources and re-evaluate the current taxation policies; stresses the need for coordination at EU level to avoid distortions and subsequent revenue losses; notes that tax morale is generally higher in countries that tax more heavily, which is evidence for the willingness of citizens to pay tax in return for effective public services;
Amendment 320 #
Motion for a resolution
Paragraph 23 a (new)
Paragraph 23 a (new)
23a. Notes the existing tax gaps resulting from tax fraud, tax evasion, aggressive tax planning and money laundering; deplores that tax matters still fall under the unanimity rule; warns that unanimity is impeding important tax reforms without which significant internal market distortions remain; notes with concern that tax mixes in the EU are very divergent leading to distortions; believes that strengthening administrative cooperation, harmonization and minimum rates would lead to more effective, simple, and fair tax systems; calls on the Commission to better monitor and launch infringement proceedings to guarantee the effective enforcement of Union law, in particular in the fields of money laundering and administrative cooperation in the tax field;
Amendment 330 #
Motion for a resolution
Paragraph 24
Paragraph 24
24. Agrees with the opinion of the EFB and others21 that a deepening of the Economic and Monetary Union (EMU) would be helped by a central fiscal capacity, which could help to finance European public goods and to cushion idiosyncratic shocks, whether common or country-specific, in a timely manner; calls on EU Finance ministers to relaunch the discussions on the creation of a permanent and ambitious macroeconomic stabilisation function financed through joint debt issuance and common EU taxes; _________________ 21International Monetary Fund and the European Central Bank.
Amendment 345 #
Motion for a resolution
Paragraph 25 a (new)
Paragraph 25 a (new)
25a. Calls the European Commission, in view of its 2030 climate target plan and the limited time to reach net zero emissions, to declare a climate emergency enabling the Union to fund investments for the green transition, modelled on the design of the Recovery and Resilience Facility;
Amendment 358 #
Motion for a resolution
Paragraph 26 a (new)
Paragraph 26 a (new)
26a. Takes note of the Commission’s latest technical revision of the MIP indicators; supports, however, that the MIP scoreboard would benefit from further modification towards a broader and more balanced scope; further suggests its streamlining around meaningful indicators, geared towards intra-euro area imbalances rather than performance vis-à-vis the rest of the world;
Amendment 359 #
Motion for a resolution
Paragraph 26 b (new)
Paragraph 26 b (new)
26b. Calls for the introduction of indicators on households’ disposable income, poverty, capital unit costs, a climate indicator to measure progress towards common EU climate targets, the SDG-indicator developed by Eurostat, as well as indicators on investment in environmental sustainability and innovation with respective alert thresholds signalling the build-up of imbalances; considers in particular, that inefficiencies in energy and resource usage should be targeted since they may deteriorate significantly the current account balance and competitiveness;
Amendment 360 #
Motion for a resolution
Paragraph 26 c (new)
Paragraph 26 c (new)
26c. Underlines that Annual Sustainable Growth Survey (ASGS)studies the euro area as a whole without mentioning specific imbalances within the euro area; Calls on the Commission to include an analysis of the fiscal and structural stance for the EMU as a whole focusing on EMU’ overall deficit, current account balance and demand components;
Amendment 367 #
Motion for a resolution
Paragraph 27
Paragraph 27
27. Calls for the MIP to be reformed to make its indicators and recommendations more forward-looking and symmetrical with regard to over- and undershooting target values, and to focus on indicators under the control of policymakers and geared towards reducing intra-euro area imbalances; stresses in particular that the current account thresholds should be adjusted so as to apply a strict symmetry between surpluses and deficits; expects that such an approach will increase the viability of the MIP by decreasing the political cost associated with activating the corrective arm of the MIP; considers that greater compliance with pared-back recommendations must be achieved and MIP-relevant country-specific recommendations should focus on policy actions that can have a direct impact on imbalances;
Amendment 379 #
Motion for a resolution
Paragraph 28 a (new)
Paragraph 28 a (new)
28a. Supports in this respect the EFB proposals to incorporate considerations from the MIP in the determination of the aforementioned expenditure growth ceiling, whereby low- debt and high account surplus countries would commit to a binding net expenditure path, which would include public investments with cross border effects;
Amendment 399 #
Motion for a resolution
Paragraph 30
Paragraph 30
30. Calls for a renewed European Semester as the main economic and social policy coordination framework supporting the EU’s long-standing goals of sustainability, social justice and upward convergence with stronger national ownership; calls for more rigorous democratic scrutiny and for Parliament’s full involvement in defining the overarching goals and the guidance, as well as the need to streamline the European Green Deal, Sustainable Development Goals, and European Pillar of Social Rights into economic and fiscal policy;
Amendment 402 #
Motion for a resolution
Paragraph 30 a (new)
Paragraph 30 a (new)
30a. Considers as an indispensable condition for political ownership and legitimacy the transformation of the European Semester into a new coordination process that is grounded on targets and objectives, rather than the means to achieve those, which should remain in the discretion of Member States; suggests developing the semester into a European Strategic Cycle for policy coordination spanning 2.5 years to allow for a stronger focus on content rather than process and increase the focus on implementation;
Amendment 403 #
Motion for a resolution
Paragraph 30 b (new)
Paragraph 30 b (new)
30b. Calls for climate, social sustainability and gender mainstreaming in all CSRs and for an obligation of Member states to explain in their national reform programmes how their reforms and policies contribute to the Sustainable Development Goals;
Amendment 404 #
Motion for a resolution
Paragraph 30 c (new)
Paragraph 30 c (new)
30c. Calls for sustainability screening and gender impact assessment on all reforms and investment decisions;
Amendment 405 #
Motion for a resolution
Paragraph 30 d (new)
Paragraph 30 d (new)
30d. Calls for more rigorous democratic scrutiny of the European Semester process, through Parliament’s full involvement in defining the overarching goals and the guidance, notably by ensuring co-decision powers for Parliament in the adoption of decisions with the most tangible impact on citizens, specifically on the adoption of sanctions under the excessive deficit procedure and the macroeconomic imbalances procedure;
Amendment 412 #
Motion for a resolution
Paragraph 32
Paragraph 32
Amendment 422 #
Motion for a resolution
Paragraph 33
Paragraph 33
Amendment 443 #
Motion for a resolution
Paragraph 35
Paragraph 35
35. Reiterates the urgency of increasing and diversifying the EU budget’s revenue sources and of linking own resources with policy objectivesOwn Resources according to the roadmap annexed to the Interinstitutionnal Agreement of 16 December 2020; recalls that the new Own Resources shall at least cover the cost of NGEU; stresses that the own resources shall be aligned with the Union priorities, especially the fight against climate change, the circular economy, Europe fit for the Digital Age and shall contribute to ensuring fair taxation and to the strengthening of the fight against tax fraud and tax evasion; recalls that the basket of new Own Resources listed in the IIA is non-exhaustive and that the Commission shall take due account of suggestions made by the European Parliament or the Council;
Amendment 446 #
Motion for a resolution
Paragraph 35 a (new)
Paragraph 35 a (new)
35a. Notes with concern the outsized role played by an informal body, the Eurogroup, in the implementation of the fiscal surveillance framework, behind closed doors, without clear responsibilities, without decision-making competences, and without accountability;
Amendment 450 #
Motion for a resolution
Paragraph 36
Paragraph 36
36. Calls for the Eurogroup’s decision- making process to be reassessed to include appropriate democratic accountability at the level at which decisions are taken; calls for the Chair of the Eurogroup to be one of the Commission Vice-Presidents; and to formalise regular accountability mechanisms with the European Parliament, including through exchange of documents and regular hearings;
Amendment 454 #
Motion for a resolution
Paragraph 36 a (new)
Paragraph 36 a (new)
36a. Recalls that the Eurogroup does have legal decision-making powers when convening as the ESM Board of Governors, therefore calls for the Eurogroup to be formalised as a body under EU law in the context of the inclusion of the ESM and its board of governors into the EU Treaty framework;
Amendment 455 #
Motion for a resolution
Paragraph 36 b (new)
Paragraph 36 b (new)
36b. Reiterates its position that the proper functioning of an EMU depends on the existence of an institution serving as a ‘lender of last resort’; underlines, however, that the recent Covid crisis indicated that ESM programmes have become politically costly, irrespective of their concrete conditionality, carrying a substantial stigma effect for Member states resorting to them;
Amendment 456 #
Motion for a resolution
Paragraph 36 c (new)
Paragraph 36 c (new)
36c. Considers that ESM’s intergovernmental structure has exacerbated its legitimacy crisis;
Amendment 462 #
Motion for a resolution
Paragraph 37
Paragraph 37
37. Recalls, therefore, its call for the ESM to be integrated into EU law under the Community method, creating, inter alia, legal certainty that its acts and omissions cannot escape judicial scrutiny; underlines that the EC proposal to integrate ESM in the EU framework has been blocked by the Council; stresses that such integration shall not be nominal, but lead instead to a reinvention of the ESM within the EU legal framework and a major overhaul of its modus operandi transforming it into an “EU debt agency”;
Amendment 464 #
Motion for a resolution
Paragraph 37 a (new)
Paragraph 37 a (new)
37a. Stresses that the transformation of the ESM into a fully-fledged EU body necessitates the replacements of the unanimity voting rule, intrinsic to an intergovernmental structure, by a qualified majority rule, that shall pertain to all ESM decisions, including those related to the support provided to the SRB; considers that such a decision making process would enhance ESM’s capacity to respond swiftly to economic and financial shocks;
Amendment 465 #
Motion for a resolution
Paragraph 37 b (new)
Paragraph 37 b (new)
37b. Reminds the Commission and the Council of its position adopted in plenary regarding Regulation (EU) No472/2013; emphasises in particular the need to further increase the transparency and accountability of the decision-making process leading to the adoption of macroeconomic adjustment programmes, providing for a clearer and well- delineated mandate for all involved stakeholders; asks for such provisions to be integrated in the future ESM statute as well as in the future revision of Regulation (EU) No 472/2013;
Amendment 466 #
Motion for a resolution
Paragraph 37 c (new)
Paragraph 37 c (new)
37c. Supports, in this respect, that macroeconomic adjustment programmes shall be adopted by means of Delegated Acts on the basis of Article 290 TFEU, granting the Parliament and the Council equal rights in repealing them;