Eurogroep bespreekt o.m. Grieks begrotingstekort (en)

(Amelia Torres, Gregor Kreuzhuber, Ewa Hedlund, Maria Assimakopoulou)

EUROGROUP (AT)

Eurogroup ministers will meet at 19:00 hrs on Monday 11 April. Joaquín Almunia, Commissioner responsible for Economic and Financial Affairs, will attend.

The meeting will start with a discussion on budgetary developments, more concretely on the 2005 Spring Economic forecasts published by the Commission on 4 April and its implications for the surveillance of budgetary policies. Ministers will then have an exchange of views on the economic situation and recent developments. Ministers will also discuss the Commission's recommendation of 6 April for a Council opinion on the updated stability programme of Greece and the Commission's assessment of compliance with the Council decision under Article 104.9 (IP/05/390). Ministers are also expected to have a discussion, after the endorsement by the European Council (22 March) of the Ecofin report on the reform of the Stability and Growth Pact, on the necessary changes to regulations 1466/97 (on budgetary surveillance) and 1467/97 (on the excessive deficit procedure) which together with the Treaty provisions form the basis of the SGP.

ECOFIN COUNCIL

The European Union's Council of Economics and Finance Ministers will start at 10.00 hrs on Tuesday 12 April. The European Commission will be represented at the Council by Commissioner Almunia, Financial Programming and Budget Commissioner Dalia Grybauskaité and by Taxation and Customs Union Commissioner László Kovács.

Integrated guidelines package - Broad Economic Policy Guidelines 2005 (AT)

Commissioner Almunia will briefly outline a Recommendation -- to be adopted by the Commission later on the day -- for Integrated Guidelines which will be the centrepiece of the re-launch of the Lisbon Strategy, endorsed by the Spring European Council in March 2005. The guidelines, which cover the period 2005-2008, will bring together the Broad Economic Policy Guidelines and the Employment Guidelines. The Integrated Guidelines package will also give direction to Member States on the preparation of their national programmes.

Application of the Stability and Growth Pact (AT)

• Assessment of the updated stability and convergence programmes

The Council is expected to give its opinion on the updated stability programme of Greece assessed by the Commission on 6 April (see IP/05/390).

• Application of the ongoing excessive deficit procedures

On 6 April, the Commission concluded that Greece has, so far, taken decisions consistent with the recommendations of the Council, in accordance with Article 104.9, in order to correct its excessive deficit. Based on this assessment, the Commission considered that no further steps in the excessive deficit procedure are needed at present. The Council is expected to endorse this Commission communication.

Main results of the data on government deficit and debt (March 2005) (AT)

Commissioner Almunia is expected to present to ministers the first 2004 data on government deficit and debt as published by EUROSTAT, on 18 March, based on the data transmitted by the 25 Member States (STAT/05/39).

Reduction of the administrative burden on entreprises (GK)

The Council will have an exchange of views on the "better regulation" package tabled by the Commission on March 16 and designed to cut-red tape, tackle excessive regulation and help strike the right balance between the costs and benefits of legislation. Improving the quality of regulation can significantly spur growth in the EU economy and business. This is why "better regulation" is a centrepiece of the European Commission's "partnership for growth and jobs". It is essential for setting up the right conditions for growth and employment in Europe.

Pluriannual financial framework (EH)

The Council will discuss the "negotiating box" on the next Financial Framework 2007-2013. The "negotiating box" is a tool for moving forwards in the negotiations on the next Financial Framework and was presented to the General Affairs and External Relations Council, GAERC, by the Luxemburg Presidency on March 16.

Savings taxation (MA)

EU Economic and Finance Ministers are due to take stock of the state of play of the transposition of the Directive by Member States as well as of the ratification and implementation of the savings tax agreements with five non-EU countries (Switzerland, Liechtenstein, Monaco, Andorra, San Marino) and with the dependant and associated territories of the United Kingdom and the Netherlands. As agreed by Member States in July 2004 (see IP/04/958), the implementation by these non-EU countries and territories of measures that would allow effective taxation of savings income paid to EU residents is a necessary pre-requisite for the application of the Savings Taxation Directive in the EU from 1 July 2005.

Alcohol taxation (MA)

Commissioner Kovács will endeavour to seek guidance from Member States, in particular on the basis of the Commission's report on alcohol taxation of May 2004 (see IP/04/669), in order to decide on the best way forward in this sensitive area. This report concluded that more convergence of the rates of excise duty in the different Member States is needed so as to reduce distortions of competition and fraud. Commissioner Kovács will state his hope that the Council can agree to allow the Commission to draw up proposals to adjust and modernise the existing system of minimum rates at least to re-establish the real value of the Community-wide minimum rates in the light of inflation since 1992 when the current minimum rates were set.

Financing of assistance to development - fiscal and non-fiscal instruments (MA/AT)

Commissioners Kovács and Almunia are due to present a working paper that the Commission has prepared in response to the Council's request of 17 February, on possible means that the EU could use to collect additional revenues to finance development aid.

The Commission has in this context scrutinised a number of tax instruments on the basis of the criteria of revenue-raising capacity, economic and competitiveness aspects, implementation and legal aspects and equity. Ministers are expected to have a substantive discussion on financing assistance to development at their informal meeting on 13-14 May in Luxembourg.