Business Plan for Reinforcing the Euro

Presidents of 41 business federations from 35 countries, including Czech Confederation of Industry, gathered at the Council of Presidents of BUSINESSEUROPE in Warsaw on 2nd December 2011 and phrased unanimous call for a strong, quick and comprehensive political commitment towards the new Budgetary Union in the Euro Area.

They urge the European leaders to consider below-mentioned recommendations at the European Council: European Financial Stability Facility should provide conditional support to Member States experiencing liquidity problems until the European Stability Mechanism is developed into a politically independent European Monetary Fund open to all EU 27 Member States.

The ECB should continue to assist financial stability by both providing liquidity to the banking sector and, for a limited period of time until other means are in place, engaging in sovereign debt markets to the extent it believes necessary to stabilise the Euro.

Economic governance has to be built on the principles of early prevention, greater surveillance of fiscal and macroeconomic imbalances, independent statistics, legal debt brakes for Euro Area members, and a more automatic decision-making process in the Council for the adoption of robust country-specific Commission recommendations. Eurobonds shall be long-term refinancing instrument for a European Monetary Fund underpinned by greater Euro Area budgetary union. Single market has to be completed to increase both economic convergence and growth.