Article

According to the Chancellor, the fact that the Greek government reached an agreement with the EU Commission, the European Central Bank and the International Monetary Fund on a new austerity programme this past Thursday sends out an important message and is a step in the right direction.

The government in Athens will put the savings programme to the vote this coming week in parliament. Its approval is the condition for receiving payments from the current credit programme as well as for the further aid promised.

As soon as Greece has created the necessary conditions with its austerity package, it should receive additional funds from public and private sources. The Europeans are hoping that private creditors will participate. Informal and voluntary prolongations of current Greek liabilities should make it possible to substantially reduce the necessary public funds.

“I know that the Greek Prime Minister and his government will throw their entire political weight into the balance in order to obtain a majority in parliament”, the Chancellor affirmed confidently following the talks in Brussels.

Economic policy and immigration on the agenda

Immigration to the European Union as well as the EU’s economic situation were other major topics during the two-day-long consultations of the heads of state and government in Brussels. In their discussions on economic policy, the European leaders dealt with the state of implementation of the overall package for the consolidation of the economic and monetary union. The EU member states’ budget consolidation efforts were one of their focuses here.

With the so-called Euro-Plus Pact, the EU hopes to strengthen intergovernmental economic policy cooperation, for enhanced competitiveness and more jobs. The leaders plan to achieve these goals through greater transparency. For example, the 27 partners agreed to monitor each country’s economic situation on a regular basis.

“We want to compare ourselves in order to learn from one another”, Merkel said. This means no more and no less than a “new beginning, a new quality of discussions between member states”.

Green light for accession of Croatia

The appointment of Italian Central Bank President Mario Draghi as new President of the European Central Bank was another outcome of the Brussels summit