Bills rise, Eurogroup: “No to interventions that could damage the single market”
“Given the strong repercussions on European energy markets, we will coordinate our measures to preserve the level playing field and the integrity of the single market, including by refraining from harmful tax adjustments. To face the challenges we have to face, close coordination of economic policies is necessary also in a broader sense ”.
This is what is stated in the concluding statement of the meeting of the Eurogroup. “In particular, we should try to avoid the shock of the energy prices turn into second-round effects and a more persistent acceleration of inflationary dynamics that would damage our economies. We therefore try to refrain from policies that would increase inflationary pressures “, add the finance ministers in reference to the German government’s initiative to allocate 200 billion to calm the gas price.
Energy price increases, Eurogroup: “Impossible to screen completely”
Not only. Finance ministers also acknowledge that “governments cannot fully protect their economies from the effects of the unprecedented increase in energy prices since the euro area is a net importer of energy“.
The statement reads at the end of the meeting in Luxembourg. Ministers signal their willingness to “increasingly focus support on cost-effective measures, in particular exceptional, temporary and targeted income measures for the most vulnerable”.
Energia, Gentiloni: “National actions have an impact on others”
Finally, the European Commissioner for the Economy Paolo Gentiloni he explained: “The actions taken at national level have important repercussions on other Member States, therefore a coordinated approach at European level it is more crucial than ever. We need to respond collectively to the current challenges, in a spirit of solidarity and unity among the Member States, safeguarding the single market. We were able to avoid the risk of fragmentation in the darkest weeks of pandemic and we must do the same today ”.
Gentiloni he further explained that “the fiscal policy it must integrate, not complicate, the monetary policy. This means ensuring that the measures taken to tackle the energy crisis are ambitious, yes, but above all well designed, so as not to actually increase the inflationary pressures“and obviously” the support should be temporary and targeted at vulnerable families and businesses “.
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