Brussels (The Brussels Morning Newspaper) – The European Council has approved country-specific recommendations on economic, social, employment, structural, and budgetary policies for each member state as part of the 2024 European Semester process.
The European Council approved its country-specific recommendations on the economic, social, employment, structural and budgetary policies of each member state. This measure is part of the 2024 European Semester process, which allows member states to harmonise their economic, employment and fiscal policies.
What Is the Purpose of the 2024 European Semester
This year the European Semester cycle will be consistent with the requirements of the EU’s reformed economic governance framework. Under the new regulations, in force since 30 April, member states will formulate medium-term fiscal structural projects in the autumn, setting out their expenditure approaches and their priority reforms and investments.
The Europan Council states that the country-specific proposals guide the reform and the investment promises member states are inspired to include in these programs, especially if they wish to develop their fiscal adjustment period from four to seven years. Such an ample adjustment period would result in an overall lower fiscal effort per year that would be needed of a member state.
In the next steps, the European Council will be asked to discuss the country-specific recommendations at its gathering in October 2024. After that, the EU Council can move with the formal adoption of the proposals, which concludes the final phase of the 2024 European Semester process.
Why Was the European Semester Introduced in 2011?
The 2008 economic crisis demonstrated a need for stronger economic governance and adequate budgetary and social policy coordination between the EU member states. Improved economic, social, employment, structural and budgetary procedure coordination can help control disparities and ensure convergence and peace in the EU as a whole and in its member states. The related policy coordination processes that existed until 2010 were executed independently of each other.
As a result, the European Semester introduced in 2011 allows the EU member states to coordinate their economic, fiscal and employment procedures throughout the year and manage the economic challenges facing the EU.
What Are the Goals of EU Policy Coordination?
The European Semester seeks to contribute to ensuring proper public finances, preventing excessive budgetary deficits and stopping or reducing government debt, assuring convergence and stability in the EU, promoting economic growth, preventing macroeconomic inequalities in the EU, observing the implementation of national recovery and resilience projects, coordinating and monitoring employment and social policies
The EU Commission offers each country a set of draft country-specific proposals (CSRs) on their economic, social, employment, structural and budgetary policies, delivering policy guidance on how to increase jobs and growth while maintaining sound public finances. On this basis, the EU Council then assumes country-specific recommendations (CSRs). It provides resolutions in cases where it does not follow the Commission’s recommendations.
