For Chancellor Angela Merkel, 2014 was a year of history. "This year saw the 100th anniversary of the outbreak of the First World War, the 75th anniversary of the outbreak of the Second World War, and for us in Germany the 25th anniversary of the fall of the Berlin Wall and the end of the Cold War."

2014 has demonstrated that "freedom, peace and prosperity cannot be taken for granted", but that we must always fight for them and stand up for them. This can be seen, for instance, in Russia’s violation of the territorial integrity of Ukraine.

The Chancellor welcomes the fact that the European Union is concentrating on major challenges with its strategic agenda. The work programme of the new Commission proposes withdrawing 80 pending pieces of legislation.

Promoting investment in Europe

Jean-Claude Juncker, President of the European Commission, believes in a "magical triangle", consisting of fiscal consolidation, structural reforms and investment. These are to be the foundations on which the EU aims to build growth and employment in Europe.

At the final press conference in Brussels the Chancellor reported that the 300 billion euro investment package had been welcomed by all sides. "So that the people in Europe, the citizens, can see what is happening, these projects must take on a concrete form and then we can get to work with gusto."

The European Investment Bank has assumed responsibility for managing the programme. This will guarantee "that economically attractive projects are implemented". Decisions should be based not on political criteria but on economic criteria, stressed Angela Merkel.

The European Council has agreed that the European Commission will submit a proposal in January 2015. The EU legislators will agree on this by June, meaning that new investment can be undertaken as of mid-2015.

The new European Commission has announced an investment programme worth 315 billion euros to foster new growth and jobs in Europe. Through the European Investment Bank, a sum of 21 billion euros is to trigger investment of at least 315 billion euros by 2017.

The German government has proposed a list of 58 projects worth a total of 89 billion euros. These are projects in the fields of digital infrastructure, energy, transport, social infrastructure and the environment. In particular they focus on investment in the nationwide provision of fast internet connections, in wind power and in the construction of motorways. The list of projects is still provisional. The proposed projects will be considered by the EIB and the successful projects selected on the basis of economic criteria.

Europa presents a united front

Topical foreign policy issues were also on the agenda in Brussels. The Chancellor spoke of the challenge posed by the "Islamic State" and condemned the attack on a school in Pakistan. She promised to work "with the Muslims in the world to tackle this sort of barbarism".

The European Council congratulated Ukraine on its new government and welcomed its determination to implement political and economic reforms. The Chancellor believes it is important that the EU has acted in unison on the conflict between Ukraine and Russia. "Firstly, we have sent clear messages to Russia, secondly we have consistently shown our readiness to discuss compromises, and thirdly we have supported Ukraine." Following the ceasefire it is now important to ensure that the provisions of the Minsk Protocol are genuinely implemented.

The Minsk Protocol of 5 September provides for the withdrawal of heavy weaponry, the exchange of prisoners and the monitoring of both the ceasefire and the Ukrainian-Russian border by the OSCE. One main concern in view of the coming winter is to improve the humanitarian situation in eastern Ukraine.

As she had already said in her government statement the Chancellor again called on Ukraine to undertake economic reforms and to take vigorous steps to tackle corruption.

Objectives for 2015

• The conclusion of the Transatlantic Trade and Investment Partnership in 2015. The European Council has affirmed its support.
• In February the heads of state and government will discuss the further development of the economic and currency union, with the aim of "guaranteeing genuinely lasting growth and prosperity in the EU," reported the Chancellor.
• The European Council is to report in June on the further steps to harmonise company taxation in Europe. Greater efforts are needed here to close existing loopholes.