G20: we must avoid excessive burdens on future generations, Bourgas, Burgas
EU needed stronger financial supervision structure with a single
financial supervisory authority, emphasizes European Parliament in its
resolution on the summit of the G-20 in Pittsburgh. Deputies stressed
the need for long-term fiscal sustainability, to avoid excessive
burdens on future generations, while the immediate priorities should be
creating jobs and protecting people from the adverse impact of the
crisis.
In its resolution adopted on Thursday in Brussels, the
Parliament welcomes the agreements reached in the summit of the G-20,
including a commitment to avoid early withdrawal of incentives to
stabilize financial markets. MPs call at the same time to proceed
immediately to develop effective strategies to exit from the crisis and
their timely implementation.
How to avoid future crises
Members believe they need a centralized approach to supervision of
financial markets to prevent future crises. According to the text of
the resolution, the EU should "strive for a more stable architecture of
financial supervision, as it set out to establish a single financial
supervisory authority.
To prevent financial crises in the future must be taken in
respect of them induced causes (eg excessive trade deficits or
surpluses), said later in the resolution. Effective multilateral action
in response to the crisis must include more measures against the causes
of imbalances and exchange rate volatility in the prices of goods
within the multilateral framework.
Job creation must be a priority
Parliament believes that "the first priority should be to achieve
strong growth of the real economy, ensuring the proper functioning of
capital markets and credit, maintaining and promoting employment and
protecting people from the adverse impact of the crisis by paying
particular attention to the poorest and most vulnerable.
The resolution stresses the importance of social dialogue at all
levels to avoid deflation of wages and to ensure that wage growth was
in line with productivity growth.
Bonuses and "tax havens"
In its resolution the European Parliament urges the Commission to
"implement the commitments on time bonuses made during the Summit of
the G-20 in European legislation. MEPs welcome the progress in the
field of banking secrecy and insist on an effective system of
"deterrence, detection and tracking 'persons hiding taxes. In their
achievements in the fight against tax havens "are significant but still
insufficient.
'No' to Protectionism
Parliament again recalls its position against any form of
protectionism and continue to push for progress in ensuring market
access, not to the detriment of developing countries.
Without progress on climate change
In conclusion, the resolution of Deputies expressed regret about
the fact that no progress has been made regarding the financing of the
global fight against climate change.