Recommendation for a Council Recommendation on the implementation of the broad guidelines for the economic policies of the Member States whose currency is the euro

The current economic environment of the euro area is characterised by a gradual, but still fragile economic recovery. In 2013 and in early 2014, euro area inflation declined markedly and is expected to increase only very gradually over the forecast horizon, reflecting the existing slack together with the ongoing relative price adjustments in the vulnerable economies and continued appreciation of the euro exchange rate. Furthermore, while the recovery is becoming more broad-based, divergences between euro area countries remain high.

The financial crisis has exposed gaps in the architecture of Economic and Monetary Union. On 28 November 2012, the Commission presented a blueprint for a deep and genuine economic and monetary union with the aim of launching a European debate. On 5 December 2012, the President of the European Council in close collaboration with the President of the European Commission, the President of the Eurogroup and the President of the European Central Bank, presented a report building on a number of ideas from the Commission's blueprint, and including a timeframe and a stage-based process towards the completion of the Economic and Monetary Union. The European Parliament expressed its views in its resolution of 20 November 2012. Significant steps have been taken since then. Further developing EMU will require a step by step approach combining discipline with solidarity. The Six Pack and Two pack legislation foresee a first review of their implementation by the end of 2014.

• Primary Source

EUR-Lex: COM(2014)401: Follow the progress of this recommendation through the decision-making procedure http://eur-lex.europa.eu/legal-content/EN/HIS/?uri=COM:2014:401:FIN

EUR-Lex: SWD(2014)401: Assessment of the 2014 national reform programmes and stability programmes for the Euro Area http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=SWD:2014:401:FIN

ESO: Background Information: Website: Stability and covergence programmes submitted by member states 2006- http://www.europeansources.info/record/website-stability-and-convergence-programmes-1998/

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