European Council to focus on strengthening the EMU and implementing the Compact for Growth and Jobs

European Council to focus on strengthening the EMU and implementing the Compact for Growth and Jobs

Government press release 320/2012

The EU Heads of State or Government will convene for a European Council meeting in Brussels on 18-19 October. The meeting will discuss the development of the European Monetary Union on the basis of the interim report presented by President of the European Council Herman Van Rompuy. The European Council will also review progress in the implementation of the Compact for Growth and Jobs and exchange views on relations with strategic partners, including EU-China relations. Prime Minister Jyrki Katainen will represent Finland at the meeting.

The working session and working dinner on Thursday will focus on the interim report "Towards a genuine economic and monetary union" presented by President of the European Council Van Rompuy. The issues of the report were first discussed at the June European Council and now a specific road map for the achievement of a genuine Economic and Monetary Union is to be presented by December 2012.

The interim report maps out areas relating to the monetary union which in the short and medium term need to be developed. It outlines four essential building blocks for the future economic and monetary union: integrated financial framework (also referred to as the banking union); integrated budgetary framework; economic policy coordination; and democratic legitimacy and accountability. The European Council is expected to focus mainly on the banking union and banking supervision which are areas requiring more momentum.

The working session on Friday morning will review progress in the implementation of the Compact for Growth and Jobs and set orientations for practical-level measures aiming at completing the work on the Single Market Act I, achieving a fully functioning Digital Single Market, and promoting research, innovation and free trade. The Stability and Growth Pact adopted at the June European Council aims to contribute to sustainable growth, employment and competitiveness in the European Union.

As part of the growth discussion the European Council will address the proposal for Single Market Act II presented by the Commission on 3 October. Finland has taken an active role in the work for the legislative proposals of the Single Market Act and in encouraging further measures to promote the achievement of a fully functioning Digital Single Market. To that end, a joint statement on the next steps to deepen the Digital Single Market was issued by Prime Minister Katainen and the President of France François Hollande on 2 October.

 

Inquiries: Pasi Rajala, Special Adviser, EU Affairs, tel. +358 9 1602 2055 or +358 400 505 269 and Kare Halonen, State Secretary, EU Affairs, tel. +358 9 1602 2180, Prime Minister’s Office

Interim report: "Towards a genuine economic and monetary union"

Joint statement by Finland and France: "Digital Single Market – Next Steps"