Reform 2011
In March 2011, following the 2010 European sovereign debt crisis, the EU member states adopted a new reform under the Open Method of Coordination, aiming at straightening the rules e.g. by adopting an automatic procedure for imposing of penalties in case of breaches of either the deficit or the debt rules. The new "Euro Plus Pact" is designed as a more stringent successor to the Stability and Growth Pact, which has not been implemented consistently. The measures are controversial not only because of the closed way in which it was developed but also for the goals that it postulates.
The four broad strategic goals are:
- fostering competitiveness
- fostering employment
- contributing to the sustainability of public finances
- reinforcing financial stability.
An additional fifth issue is:
- tax policy coordination
The European Fiscal Compact is a proposal for a treaty about fiscal integration described in a decision adopted on 9 December 2011 by the European Council. The participants are the Eurozone member states and all other EU members without the United Kingdom and Czech Republic. Treaty text is still to be drafted and participation approvals from national parliaments are still to be granted.
Read more about this topic: Stability And Growth Pact
Famous quotes containing the word reform:
“People who love soft methods and hate iniquity forget this,—that reform consists in taking a bone from a dog. Philosophy will not do it.”
—John Jay Chapman (1862–1933)