EU action helps economy ‘recover’10/08/17Government
Ten years ago the EU fell into the worst recession in its history, leaving lasting effects on its citizens, companies and member states’ economies.
EU institutions and member states acted to counter its impact and address the shortcomings of the initial set-up of the Economic and Monetary Union (EMU).
Today, the EU economy is expanding for the fifth year in a row, according to commissioners, with unemployment is at its lowest since 2008.
The commission also reports that banks are stronger, investment is increasing, and public finances are recovering.
Vice-President of the European Commission Valdis Dombrovskis said: “We need to build on this progress, completing the financial union, reforming our economies to foster convergence, inclusiveness and resilience, and maintaining sustainable public finances.
“In doing so, we should pursue a balanced approach where risk reduction and risk sharing go hand-in-hand and the unity of the single market is preserved.”
EU efforts to regulate the financial sector and improve economic governance have included strengthening new and common institutional and legal frameworks and establishing a financial firewall for the euro area, as well as supporting countries in financial distress.
Other initiatives have involved the improvement of public finances, the pursuit of structural reforms and the fight against youth unemployment, amongst others, to manage and better prevent possible future crises.
The number of states in the eurozone has increased from 12 to 19, with the euro now the second-most important currency in the world.
Of the eight member states that received financial assistance, Greece remains under a recovery programme. The country is due to exit it in mid-2018.