Category: Economy

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Commission adopts banking package to facilitate lending to households and businesses in the EU

The Commission has adopted this week a banking package to help facilitate bank lending to households and businesses throughout the European Union. The aim of this package is to ensure that banks can continue to lend money to support the economy and help mitigate the significant economic impact of the Coronavirus. It includes an Interpretative Communication on the EU’s accounting and prudential frameworks, as well as targeted “quick fix” amendments to EU banking rules.

The rules put in place following the financial crisis have ensured that banks in the EU are now more resilient and better prepared to deal with shocks to the economy. Today’s Communication recalls that EU rules allow banks and their supervisors to act in a flexible, but responsible, manner during economic crises to support citizens and firms, particularly small and medium-sized companies. Today’s Regulation also implements some targeted changes to maximise the capacity of credit institutions to lend and to absorb losses related to the Coronavirus pandemic, while still ensuring their continued resilience.

Valdis Dombrovskis, Executive Vice-President for an Economy that Works for People said: “We are supporting households and businesses as much as we can to deal with the economic fallout of the Coronavirus. The banking sector can do a lot to help here. We are using the full flexibility of the EU’s banking rules and proposing targeted legislative changes to enable banks to keep the liquidity taps turned on, so that households and companies can get the financing they need. I will soon also be launching roundtable discussions bringing together consumer and business groups with the financial sector so that we can address the most urgent needs of our citizens and companies.” Continue reading “Commission adopts banking package to facilitate lending to households and businesses in the EU”

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EU and Mexico conclude negotiations for new trade agreement

The European Union and Mexico concluded today the last outstanding element of the negotiation of their new trade agreement. Trade Commissioner Phil Hogan and Mexican Minister of Economy Graciela Márquez Colín – in a phone call today – agreed on the exact scope of the reciprocal opening of public procurement markets and a high level of predictability and transparency in public procurement processes. With this, the EU and Mexico can advance to the signature and ratification of this agreement in line with their respective rules and procedures.

Commissioner for Trade Phil Hogan said: “While most of our efforts have been focused lately on tackling the coronavirus crisis, we have also been working to advance our open and fair trade agenda, which continues to be very important. Openness, partnerships and cooperation will be even more essential as we rebuild our economies after this pandemic. I am very pleased, therefore, that together with our Mexican partners, we share similar views and that our continued work could now come to fruition. Today’s agreement is clear evidence of our shared commitment to advance our agenda of partnership and cooperation. This agreement – once in force – will help both the EU and Mexico to support our respective economies and boost employment.” Continue reading “EU and Mexico conclude negotiations for new trade agreement”

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President of the Commission outlines a path to European recovery

“The coronavirus crisis will likely redefine our politics, our geopolitics and possibly globalisation itself. And in this new world Europe will need to stick together through thick and thin”, President of the European Commission Ursula von der Leyen said at the European Parliament session that on 16 April discussed EU’s coordinated response to the coronavirus and its consequences.

Von der Leyen honoured those who lost their lives, promising that ‘we would tell their stories’. “We will remember Julie, the French teenager with her whole life ahead of her, Jan, the veteran Czech historian who always fought for what he believed in, and Gino, the Italian doctor who came out of retirement to save lives.”

Von der Leyen also used the opportunity to pay tribute to all those fighting the battle against the virus across Europe which had become ‘the world’s beating heart of solidarity’. “We have seen medical supplies go from Lithuania to Spain and respirators go from Denmark to Italy. In fact, we have seen every piece of equipment go in every direction across Europe, from whoever can spare it to whoever that needs it”, she said.

She reminded of the Commission’s actions since the outbreak: from creating common stockpile of medical equipment, to organising joint procurements, to pledging every euro left to save lives and livelihoods of Europeans. Continue reading “President of the Commission outlines a path to European recovery”