Speech: Commissioner Moscovici's introductory remarks at the Eurogroup press conference

In a bit less than a year, the ESM programme will be concluded. We then must all work together in the next months to make sure that this conclusion is a full success.

A success for Greece, a success for its citizens who have made a lot of sacrifices over these last years, but also a success for us in the eurozone as a whole. The end of the Greek programme will be the end of a tough period for Greece, but it will also be the end of a long and difficult chapter in our history of the eurozone. This is the chapter of the crisis.

As Jeroen i just said, we have made significant progress in the last months following the conclusion of the second review.

This progress has been very important. Growth is back in Greece. As you said, the Commission has proposed closure of the EDP. This decision should be definitively adopted in the few weeks to come by the Council in its General Affairs formation.

Greece has made a first step, an important step to return to markets.

And the IMF has taken its decision in principle to support the programme. Now we must ensure that this positive trend and the confidence it feeds be sustainable, durable and reinforced. This is the message the Commission has passed to the Eurogroup.

The third review will take place this autumn. It will mostly be dedicated to implementation of important reforms which have been adopted these recent months. There will be challenges of course. It will require intense work. My wish is that this work is done in a calm climate with constructive approach from all parts. And we must also build a complete strategy to conclude the programme and agree what will happen after the conclusion of the programme.

It's in everybody's interest that this third review gives the signal - the powerful signal - which is the return of Greece to a situation which should be normal: full rights, full belonging and full support in the framework of the eurozone.

Of course, we share the concern expressed on the judicial cases in Greece. We fully respect the independence of the judicial system. But we see also that these cases create reputational damage and could, if no solution is found, damage the return of confidence among investors. So we, in full respect of the independence of the judicial system again, must find a solution.

Discussion on resilience in the euro area

I will also say a few words on the discussion we had this morning on “resilience” in the euro area.

The economic situation in Europe is improving, and that is good news for all of us. But there is still a lot to be done to improve the capacity of our economies to withstand new shocks, and to avoid causing again unnecessary economic and social pain for our citizens.

Resilience is important, because it is linked to convergence - they are the two faces of the same coin. It implies working to strengthen our financial sectors, our taxation systems, our product markets and our business environment, to name just a few areas.

More generally, we must pay attention to the quality of public finances, not only formal criteria or nominal deficits, the quality of public finances and especially spending reviews, but including the efficiency of public spending and taxation too. This is particularly important at this juncture in order to recover the fiscal space necessary to absorb the next shock which will necessarily happen once. We cannot build our growth on new deficits.

I particularly want to stress the importance of investment in human skills, because education and training allows workers to better cope with the challenges they face in an ever changing labour market. Macroeconomic cohesion and social cohesion also move together. A sustainable Economic and Monetary Union requires simultaneous progress on both aspects.

Finally, I would like to underline that there is obviously also a case to be made for action at the euro area and EU level to help foster more resilient economies.

For instance as laid out in our reflection paper on the future of EMU: the creation of a central stabilisation mechanism would help foster the resilience of the euro area by providing a buffer to absorb shocks and facilitate a swifter recovery. By the same token, the creation of a common safe asset - and we don't forget the proposal - would make the euro area more robust in times of stress. And of course I am looking forward to discussing these matters in the informal ECOFIN this afternoon.

Thank you.

SPEECH/17/3267