With regard to Article III-184, the Conference confirms that
raising growth potential and
securing sound budgetary positions are the two pillars of the economic and fiscal policy
of the Union and the Member States. The Stability and Growth Pact is an important tool
to achieve these goals.
The Conference reaffirms its commitment to the provisions
concerning the Stability and
Growth Pact as the framework for the coordination of budgetary policies in the Member
States.
The Conference confirms that a rule-based system is the best
guarantee for
commitments to be enforced and for all Member States to be treated equally.
Within this framework, the Conference also reaffirms its
commitment to the goals of the
Lisbon Strategy: job creation, structural reforms, and social cohesion.
The Union aims at achieving balanced economic growth and
price stability. Economic
and budgetary policies thus need to set the right priorities towards economic reforms,
innovation, competitiveness and strengthening of private investment and consumption in
phases of weak economic growth. This should be reflected in the orientations of
budgetary decisions at the national and Union level in particular through restructuring of
public revenue and expenditure while respecting budgetary discipline in accordance with
the Constitution and the Stability and Growth Pact.
Budgetary and economic challenges facing the Member States
underline the importance
of sound budgetary policy throughout the economic cycle.
The Conference agrees that Member States should use periods
of economic recovery
actively to consolidate public finances and improve their budgetary positions. The
objective is to gradually achieve a budgetary surplus in good times which creates the
necessary room to accommodate economic downturns and thus contribute to the long-
term sustainability of public finances.
The Member States look forward to possible proposals of the
Commission as well as
further contributions of Member States with regard to strengthening and clarifying the
implementation of the Stability and Growth Pact. The Member States will take all
necessary measures to raise the growth potential of their economies. Improved
economic policy coordination could support this objective. This Declaration does not
prejudge the future debate on the Stability and Growth Pact.
