Regulations for the EU

Budget and stability pact: financial tools and regulations with evident repercussions on real economy and citizens’ lives. Both items are on this week’s EU agenda. The figures of the 2011 European Union budget are being defined in Strasbourg and Brussels. Parliament and Council are now tasked with reaching an agreement on the Commission proposal that will consider the impossibility of increased resources due to the crisis that afflicts all Member States, whilst providing funding for the countless projects, programs, entrusted to the EU for Europe’s development. The figures (discussed and voted during the week at the EP plenary in Strasbourg) amount to approximately 130-140 billions euro, namely 1% of Community GDP. Member States governments expect the EU to undertake resolutive – if not miracle-like – actions in various sectors that will bring to the common coffers no more than the scraps of produced riches. Expert-panel meetings at Community level will be held ever more frequently in the coming months to discuss the so-called post-2014 financial prospects, i.e. the multiyear budget of EU27. An ad hoc Commission will seek “to find the just balance between solidarity and competitiveness”, as explained by its chairperson, German MEP Jutta Haug, who points out: “We must remember that EU budget is rather modest. Therefore it is necessary to focus on investments where Community intervention would constitute an added value”. Indeed, the budget substantiates the decisions taken in institutional seats and is divided into major themes: competitiveness, growth and employment (including anti-crisis measures); regional development and territorial cohesion; support to agriculture and rearing; preservation and management of natural resources; freedom security, justice, migration; citizenship; administration. From the EU budget depend, in concrete terms, infrastructural investments, energetic networks, research (from aero-spatial research to consumer health, including researches to step up communication tools and new technologies), intervention for formation geared at ehancing employment and promoting culture, such as the European Social Fund or Erasmus. In its capacities as “global player”, for example in the creation of the External Action Service (namely embassies and EU diplomacy in the world), for cooperation for development, humanitarian aid and for peace-keeping operations the EU draws funding from the budget. It is therefore evident that decisions regarding the allocation of hundreds of billions of euros for the coming years should directly involve MEPs, Member States’ governments, European public opinion, media and ‘interest groups’ (provided they are legitimate and transparent). For the same reason, Catholics occupying leading institutional positions, and the Catholic world as a whole, cannot afford any distraction, silences or absences. Those present will decide, also according to the countless possibilities of influencing – directly or indirectly – on questions regarding the family, employment, health, culture, solidarity, peace, employment, housing, combating poverty… As relates to the Stability and Growth Pact stakes are high. This time the game is played by Luxembourg and Brussels. Euro-zone Countries (16 Member States that adopted the single currency) and financial ministers (ECOFIN) of EU27 this week will lay down the new rules due to control national budgets, considering – also in this case – the problems caused by the ongoing recession. In reality, the agreement on the Pact is only one of the paths that the EU is seeking to undertake in order to prevent financial market unbalance whilst safeguarding euro stability and the single market. EU ministers established a set of key-targets: extending public accounts and national budget supervision (but there is no agreement on the sanctions for those who will not comply with the rules), coordination, as much as possible, of the economic and development policies, common action to prevent and handle possible crises. In reality, the Stability Pact was made more flexible to please some of the Member States, while the Commission, the European Central Bank and other States (mainly Germany and the more “virtuous” States) call for greater rigour. Some of the responses could arrive to this regard from the European Council, called for next October 28-29.