Finance Minister discusses global challenges and economic governance at EU meetings

Finance Minister Makis Keravnos has told his EU counterparts that the new economic governance framework should ensure the sustainability of public debt and promote sustainable development across all member states through reforms and investments in digital and energy transition.

Keravnos, participated in the Eurogroup meeting and the Economic and Financial Affairs Council (ECOFIN), held in Luxembourg between 16-17 October, a press release issued by the Finance Ministry on 17 October says.

According to the press release, during the Eurogroup meeting, Finance Ministers engaged in discussions with United States Secretary of the Treasury Janet Yellen, focusing their conversation on the economic outlook and the challenges faced by both the United States and Europe in today's exceptionally unstable global environment. In this context, they mutually agreed on the importance of continuing the transatlantic economic dialogue to ensure effective addressing of these challenges.

At the heart of the discussions during the Council of the Ministers of Finance meeting was the proposed reform of the European Union's economic governance framework.

During the deliberations, the press release adds, Minister Keravnos "stressed that the new framework should ensure the sustainability of public debt and promoting sustainable development across all member states through reforms and investments in digital and energy transition."

Within this framework, he acknowledged the need to reach a compromise agreement by 2023, allowing the new framework to be in effect from 2024, when the temporary deviation from fiscal requirements, which has been in place since 2020 due to pandemic-induced conditions, will come to an end.

Furthermore, the Council also approved revised recovery and resilience plans for five member states, including additional measures to address the new challenges brought about by Russia's invasion of Ukraine.

On the sidelines of the Council meeting, Minister Keravnos held a bilateral meeting with Lithuania's Minister of Finance, Gintarė Skaistė, to discuss current European issues, with a particular focus on the reform of the EU's economic governance framework, the press release concludes.

(Source: CNA)