EU overweegt informele top over financiële crisis (en)
EUOBSERVER / BRUSSELS - The Czech EU presidency is expected to call EU leaders for an informal meeting at the end of this month to help forge a unified response to the global economic slowdown.
A European Commission spokesperson said the meeting would be a "preparatory exchange of views" and characterised the event as part of an "intensive series of preparations" before the leaders meet for their formal spring summit in March.
The decision follows a telephone conversation on Monday morning (9 February) between European Commission President Jose Manuel Barroso i and the Czech Prime Minister Mirek Topolanek i.
Both were criticised last week by French President Nicolas Sarkozy i for failing to tackle the financial crisis head-on.
The informal summit is the latest in a plethora of high-level discussions between member states and EU officials to deal with the ongoing financial crisis and economic slowdown that show little sign of abating.
So far, national capitals have been taking their own steps to tackle the crisis with scant regard for EU unity.
European Central Bank president Jean-Claude Trichet i had little in the way of positive news regarding the eurozone economy last Thursday when he talked to reporters following the bank's decision to hold interest rates at two percent.
This and increasing social unrest - seen in the UK, France, Greece, Latvia and Lithuania - set the scene for an EU finance ministers meeting in Brussels.
Eurozone ministers
Eurozone finance ministers will meet on Monday evening to discuss the impact of the financial crisis on the real economy and possible labour market reforms within the 16-nation zone.
Informally they will also discuss the EU bond market and member state sovereign debts, two issues that are causing considerable alarm amongst commission officials and market investors.
The rising cost of borrowing for some peripheral EU member states increases the risk of these governments defaulting on debt repayments. Some analysts predict that this in turn could result in these member states leaving the eurozone.
In an unusual move, Mr Barroso will also attend the eurogroup meeting to relay the commission's message on the current crisis, with the Brussels executive due to present proposals on how to tackle the financial crisis at the beginning of March.
As member states desperately try to stem the flow of job losses and factory closures that have continued in recent weeks, the commission has stuck to its message that protectionist measures will only exacerbate the problem.
Likewise, economic commissioner Joaquin Almunia has reiterated on numerous occasions that member states must put their public finances in order to prevent ballooning budget deficits threatening the future stability of the eurozone.
Deficits swell
The commission will present its position on eurozone member state stability programmes on 18 February before announcing at a meeting of finance ministers on 9 March which countries will face excessive deficit action.
The commission is legally obliged to take action against member states whose deficits exceed 3 percent of their GDP and finance ministers will likely discuss at next month's meeting what measures these countries should be requested to carry out and under what timeframe.