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Lusa - Business News - EU/Presidency: European response to the crisis is 'insufficient' - MEPs




Lisbon, April 16, 2021 (Lusa) – MEPs from the PS (socialists), PSD (social democrats), PCP (communists) and BE (left bloc) argued on Friday that the Recovery and Resilience Mechanism, which aims to support European economic recovery, will not be sufficient to respond to the crisis caused by the Covid-19 pandemic.
"The measures on the table are not enough and, compared to the response of the United States for example, the European Union (EU) will have to do more," said Pedro Silva Pereira (PS), referring to European funds for the recovery of European economies, in a video conference organised by the Club of Lisbon in partnership with the European Parliament on the future of Europe.
However, the Socialist MEP admitted that "despite all the shortcomings", this is "an unprecedented response" by the EU, recalling that the European Commission will go to the markets to issue debt in order "to be able to finance the recovery, more with grants than with loans".
"This means a positive attitude from the EU, which contrasts greatly with the response to the previous crisis," he said.
Paulo Rangel (PSD) agreed with Pedro Silva Pereira on the insufficient amount of the Recovery and Resilience Mechanism (RRM), endowed with 672.5 billion euros, stating that "taking into account the evolution of the pandemic, this will probably not be enough".
Paulo Rangel pointed out, however, that "at this moment I would not address this problem", since "taking into account that member states are with very individualistic impulses", one could run the risk of "preventing this fund from starting right away".
He called on the EU Council, currently chaired by the Portuguese government, to focus "all efforts" on the ratification of the own resources decision by all 27 Member States, as this is indispensable for the Commission to finance the fund and for national recovery and resilience plans to start being implemented "from the summer".
For MEP João Ferreira (PCP), the RRM "is clearly insufficient" and "well below what the European Parliament came out in favour of".
However, "EU countries are currently divided between those for which the RRM is of little importance in the set of instruments they have mobilised to tackle the crisis", as is the case of Germany which, in the first phase of response to the crisis, "mobilised 750 billion euros for its economy", corresponding to the total of the EU recovery fund, of which the RRM is the main instrument.
" Of course there are countries for which it seems that the response [to the economic crisis] boils down to that and little else, which is the case of Portugal, where the whole issue of economic recovery revolves around the RRM", criticised the Communist MEP, warning that this translates into a "profoundly unbalanced response" within the EU itself.
In the same vein, BE MEP Marisa Matias considered that the RRM is "insufficient and clearly has many problems", also pointing to the national RRM proposal, which she considered to have "a serious problem", referring to the "concentration of investment on the coast and in the metropolitan areas of Lisbon and Porto".
"It is a missed opportunity to seek greater territorial coverage and even social inclusion," she said.
The video conference "Lisbon Talk: On the Future of Europe" was organised by the Club de Lisboa in partnership with the European Parliament, with the support of the Instituto Marquês de Valle Flor (IMVF) and the Lisbon City Council.
BYC/AYLS // AYLS
Lusa


Agency : LUSA

Date : 2021-04-17 10:05:01







 

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