Voorbereiding Eurogroep en Ecofin: economische groei in euro-zone, tekortprocedure voor Nederland, administratieve lastenverlichting (en)

(Gerassimos Thomas and Amelia Torres)

Eurogroup Finance Ministers are due to meet in Luxembourg at 19.00 hrs today, Wednesday 20 October. A press conference is due at the end of the Eurogroup meeting. The European Union's Economics and Finance Ministers will meet on Thursday 21 October at 10.00 hrs. The European Commission will be represented at the meeting by Economic and Monetary Affairs Commissioner Joaquín Almunia and Budget Commissioner Michaele Schreyer.

Eurogroup (GT)

Ministers will have an exchange of views on possibilities for budget-neutral measures to accelerate growth in the euro area. In the Commission's view, the disappointing growth performance of the euro area is mainly due to structural problems which require structural - longer-term - solutions. However, there are areas where reforms can be swiftly undertaken and generate short-term effects, particularly confidence effects. These include: (i) increasing incentives for firms to invest in R&D; (ii) improving the regulatory environment by taking measures to reduce the administrative burden; (iii) continuing with the labour market reforms aiming at creating incentives to work. Subsequently Ministers will discuss the excessive deficit procedure for the Netherlands. In the Commission's view the Dutch authorities have taken adequate action in line with the Council recommendations of 2 June 2004 to correct the excessive deficit. Finally Ministers will discuss budgetary developments in the light of the September 2004 EDP notifications. The situation in France, Germany, Italy and Greece, including the recent revision of fiscal data, will be discussed.

Ecofin

Excessive deficit procedures for the Netherlands (GT)

In the Commission's view the Dutch authorities have taken adequate action in line with the Council recommendations of 2 June 2004 to correct the excessive deficit.

Regulatory Reform Initiative (GT)

The Commission will reiterate its support for the development of a common approach to measuring administrative burden, which could be used by the Commission, the other institutions and, most important, by the Member States themselves which produce most administrative burden. The Commission intends to undertake pilot projects during the first half of 2005, in order to define the level of detail of the methodology that would be proportionate with the significance of the proposal concerned and the administrative burden it might potentially trigger. The measurement of administrative burden should not lead to disproportionate costs by itself.

Budget

Mrs Schreyer will present the Commission's report on the functioning of the Own Resources system (structure and Generalised Correction Mechanism), as well as its legal proposals in this field.

Lunch items (GT)

Meeting with Mr. Wolfensohn, World Bank President

2005 marks an important milestone in the collective aspirations for global development and poverty reduction with the upcoming five year review of the Millennium Summit and the Millennium Development Goals. President Wolfensohn is expected to present his assessment of development progress and of the key challenges ahead. He will share his perspectives on the outcomes of the just concluded Annual Meetings of the World Bank and the IMF, including on the discussions on aid effectiveness, aid financing and debt. He will highlight the key issues that now need to be addressed and the role that ECOFIN can play in giving impetus to the development agenda.

The Commission fully shares the World Bank analysis in this area. Our latest assessment suggests that the Commission and the EU are on track with their objective for financing the achievement of the Millenium Development Goals and will most likely surpass them. The Commission is also fully involved in the HICP initiative, providing more than USD 1.6 billion for it. In the context of the new financial perspectives (2007-2013) the Commission intends to maintain the focus on poverty, while simplifying and increasing the efficiency of its delivery instruments.