Santiago de Compostela (Spain), September 14 (EFE). – The Economy and Finance Ministers of the European Union will hold a meeting this Friday and Saturday in the Spanish city of Santiago de Compostela where they will analyze the situation of the European Union Economy and Economy They will try to advance the reform of the club’s financial rules and at the same time address cooperation between both regions and their Latin American counterparts.
Ministers are also expected to debate, on the sidelines of the meeting, the election of the new President of the European Investment Bank (EIB), a position filled by the first Vice President of Spain and host of the event, Nadia Calviño, and the President in charge of the European Investment Bank (EIB). Investment Bank (EIB) Commissioner for European Competition, Denmark’s Margrethe Vestager, although there is no official date for the election and is not expected to take place at this meeting.
Representatives from around 60 countries will meet in Santiago, including fifty European and Latin American ministers, central bank governors and representatives of international financial institutions such as the International Monetary Fund and the Inter-American Development Bank.
ECONOMIC SITUATION
The meeting begins with a meeting between Eurozone (Eurogroup) ministers, the main aim of which is to analyze the economic forecasts presented this week by the European Commission, which assume that GDP growth will slow more sharply in the coming months than expected that inflation will continue to fall, but will still remain at too high a level.
This is precisely why the European Central Bank today increased interest rates to up to 4.5% for the tenth time in a row.
On the other hand, ministers plan to choose the successor to the Italian Fabio Panetta in the Executive Committee of the ECB and it is expected that there will be a consensus to nominate his compatriot Piero Cipollone, who is the only candidate for the post, according to European sources.
MEETING WITH LATIN AMERICA
After the Eurogroup, finance ministers from across the EU will meet on Friday afternoon with around twenty colleagues from Latin America and the Caribbean for a meeting in which they will take over the leadership summit in July, at which both regions agreed to strengthen their relations and deepen their cooperation in economic matters.
The EU and its member states have committed more than 45 billion euros to 130 strategic areas in Latin America and the Caribbean, and the aim of ministers is to “land and concretize” this investment agenda in “tangible” and even detailed projects. the multinational financial institutions that would participate in the financing,” explains the Spanish Ministry of Economy.
In addition to defining the “strategic investment lines” in concrete projects in areas such as green hydrogen, water treatment, digitalization or the fight against climate change, among others, the European and Latin American ministers will try to agree on a “framework of governance” that this investment agenda monitored and evaluated and is part of the Global Gateway Community program.
The intention, the sources emphasize, is that “this is not a song in the sun” or “a one-off meeting,” but rather that it is possible to “establish a multi-year process through which this agenda can be implemented.” . get it out effectively.” .
TAX REGULATIONS
On Saturday, EU ministers will continue their meeting with a working breakfast where they will try to advance reform of deficit and debt control rules, a “priority” issue of the Spanish presidency.
“The ministers have committed to completing the process by the end of the year and we (…) believe that we must move forward as quickly as possible to try to present a first compromise proposal as early as October,” they explain from Spain Ministry of Economy. .
To this end, Calviño will update his counterparts on how technical negotiations have progressed in key areas, including safeguards to ensure credible debt reduction, which Germany wants to translate into fixed reduction targets of up to 1% per year, or investment incentives. Priority for partners like Italy or France.
After breakfast, ministers will focus on how to coordinate their fiscal policies so that they do not run counter to the ECB’s efforts to curb inflation and promote European autonomy in strategic areas. EFE
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