| ● Council of the EU | | | 17/06/2022 17:05 | Press release | | | | | Economy and finance ministers discussed the positive assessment of the Polish national recovery and resilience plan by the European Commission. The Council adopted its implementing decision on the approval of Poland’s plan today. The Council’s decision follows the European Commission’s assessment of the national recovery and resilience plans. These plans have to comply with the 2019 and 2020 country-specific recommendations and reflect the EU’s general objectives of creating a greener, more digital and more competitive economy. Poland’s total allocation under the Recovery and Resilience Facility is of €35.4 billion (€23.9 billion in grants and €11.5 billion in loans). This financing will enable Poland to foster its economic recovery from the COVID-19 pandemic and finance the green and digital transitions. Poland’s planPoland's plan devotes 42.7% of its total allocation of €35.4 billion to measures that support climate objectives. The implementation of Poland's plan is expected to contribute significantly to the decarbonisation of the Polish economy by increasing the share of renewable energy in the energy mix, the energy efficiency of the economy and the independence of Poland's energy supply. This includes substantial funding for offshore wind energy plants, as well as key changes to the regulatory framework facilitating the construction of offshore and onshore wind farms. Moreover, the implementation of the plan is expected to support an energy efficient renovation of buildings, the modernisation of railways and bus transport, road safety and the development of green hydrogen technologies. Poland's plan devotes 21.3% of the total allocation to measures that support the digital transition. This includes investments to provide universal access to high-speed internet, digitalisation of public services, IT equipment for schools, digital skills and cyber-security. In line with the Poland’s country specific recommendation, the plan contains commitment to several reforms to improve the investment climate in Poland, which must be fulfilled before any disbursements can be made. This includes a comprehensive reform of the disciplinary regime applicable to Polish judges which is expected to strengthen important aspects of the independence of the judiciary. Next stepsThe Commission will disburse once the member state reaches the milestones and targets set for investments and reforms in the recovery and resilience plan. BackgroundThe Recovery and Resilience Facility is part of NextGenerationEU, the EU’s coordinated response to the challenges the pandemic has posed to the European economy and to prepare it for the green and digital transitions. It will provide up to €672.5 billion to support the reforms and investments outlined in the member states’ recovery and resilience plans. Recovery fund: ministers welcome assessment of national plans for Bulgaria and Sweden (press release, 3 May 2022) Recovery fund: ministers welcome assessment of Estonia’s, Finland’s and Romania’s plans (press release, 28 October 2021) Council gives go-ahead to Malta's recovery plan (press release, 5 October 2021) Recovery fund: ministers welcome assessment of Czechia’s and Ireland’s plans (press release, 6 September 2021) Recovery fund: ministers welcome assessment of four more national plans (press release, 26 July 2021) Council gives green light to first recovery disbursements (press release, 13 July 2021) A recovery plan for Europe (background information) The Recovery and Resilience Facility (European Commission) |
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| ● Council of the EU | | | 17/06/2022 17:59 | Press release | | | | | To improve the European Capital Markets Union (CMU) and strengthen investor protection, the Council reached agreement on its position (general approach) on a review of the alternative investment fund managers directive, the legislative framework which governs managers of hedge funds, private equity funds, private debt funds, real estate funds and other so-called alternative investment funds in the Union. With other progress made on the implementation of the CMU agenda, it will contribute to maintaining a competitive and attractive European asset management market and so unlock private investment to finance the green and digital transitions. The proposal aims at improving the integration of asset management markets in Europe while modernising the framework for key regulatory aspects. It not only updates the alternative investment funds managers (AIFM) directive, but also the rules applicable to undertakings for the collective investment in transferable securities (UCITS), the regulatory framework that allows for the sale of cross-Europe mutual funds. The proposal has four main objectives: - Achieve further market integration for alternative investment funds and therefore a broader capital market integration;
- Improve companies’ access to more diversified forms of financing;
- Strengthen investor protection;
- Enhance the ability of fund managers to deal with liquidity pressure in stressed market conditions.
In its position, the Council stresses the importance of consistent harmonisation in the area of liquidity risk management. In particular, it underlines the need to improve the availability of liquidity management tools, with new requirements on managers to provide for the activation of these instruments. This will help ensure that fund managers are well equipped to deal with significant outflows in times of financial turbulence. The Council also supports the creation, as proposed by the European Commission, of an EU framework for loan-originating funds, i.e. funds that provide credit to companies, supplemented with several requirements to alleviate risks for financial stability and to ensure an appropriate level of investor protection. The Council further clarifies the rules for outsourcing and the delegation of certain functions by fund managers to third parties and increases the supervisory cooperation in this area. It also introduces new reporting requirements on delegation arrangements for the purpose of an improved monitoring and supervision of the application of the EU regulatory framework. Precise reporting obligations on outsourcing will reduce the possibilities for creating letterbox companies. Other key issues for the Council concern the framework for the provision of cross-border services by depositaries, new reporting obligations for UCITS for the purpose of risk monitoring and new transparency rules to enhance investor protection. BackgroundThe Commission presented its capital markets union (CMU) package - of which this proposal forms part - on 25 November 2021. The capital markets union is the EU’s initiative to create a truly single market for capital across the EU. It aims to get investment and savings flowing across all member states for the benefit of citizens, businesses and investors. EU economy and finance ministers had an exchange of views on the CMU package at the Ecofin Council of 7 December 2021. Now that the Council has agreed its position (general approach) on the proposal, it is ready to start trilogue negotiations with the European Parliament in order to agree on a final version of the text. Council position Commission proposal Capital markets union (background information) |
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| ● General Secretariat | | | 17/06/2022 18:13 | Press release | | | | | Overview of the main topics and events at the Council of EU and European Council for the coming fortnight. Foreign Affairs Council, 20 June 2022The Council will be informed about current affairs and exchange views on the Horn of Africa, Egypt and the Russian aggression against Ukraine. Read more General Affairs Council, 21 June 2022European affairs ministers will prepare the agenda of the upcoming European Council of 23 and 24 June and will exchange views on the way forward as regards the Conference on the future of Europe. Read more European Council, 23-24 June 2022EU leaders will address the situation in Ukraine, discuss the economic situation, set out the way forward on the Conference on the Future of Europe and hold a strategic discussion on the European Union’s relations with its partners in Europe. Read more Transport, Telecommunications and Energy Council (Energy), 27 June 2022Ministers will aim at reaching a general approach on the proposals to amend the renewable energies and the energy efficiency directives that are part of the ‘Fit for 55’ package. They will adopt the gas storage regulation and exchange views on emissions reductions from methane and buildings as well as the energy situation in the EU in the context of the war in Ukraine. Read more Environment Council, 28 June 2022Energy ministers will aim at reaching a general approach on the proposals to amend the renewable energies and the energy efficiency directives that are part of the ‘Fit for 55’ package. Ministers will adopt a regulation aiming at filling the EU’s gas storage reserves before the winter and sharing them in a spirit of solidarity. They will also discuss the energy situation in the EU in the context of the war in Ukraine. Ministers will exchange views on a proposal to reduce methane emissions and on a proposal on energy performance of buildings. Read more Other eventsEU-Kazakhstan Cooperation Council, 20 June 2022 EU-Western Balkans leaders' meeting, 23 June 2022 G7 summit, Schloss Elmau, 26-28 June 2022 Indicative calendar of meetings under the French presidency (1 January - 30 June 2022) French presidency website Indicative calendar of meetings under the Czech presidency (1 July - 31 December 2022) Czech presidency website |
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| ● Council of the EU | | | 17/06/2022 18:17 | Press release | | | | | Today, the Council agreed its Country Specific Recommendations on the member states' National Reform Programmes of 2022 and the Council opinions on the updated Stability or Convergence Programmes. This step is part of the 2022 European Semester programme, which enables member states to coordinate their economic, employment and fiscal policies. Next stepsThe European Council is expected to endorse the country-specific recommendations at its meeting on 24 June. After that, the Council can proceed with the formal adoptions, which conclude the final stage of the 2022 European Semester process. BackgroundIntroduced in 2010, the European Semester enables the EU member states to coordinate their economic, fiscal and employment policies throughout the year and address the economic challenges facing the EU. The Commission assesses EU governments' economic policies and budgetary strategies, based on national reform programmes and stability or convergence programmes provided each year in April. On this basis, the Commission presents each country with a set of draft country-specific recommendations (CSRs) providing policy guidance on how to boost jobs and growth, while maintaining sound public finances. The Council then adopts country-specific recommendations (CSRs) and opinions. It provides explanations in cases where the recommendations do not correspond with those proposed by the Commission. The Council recommendations on the National Reform Programmes of 2022, and the Council opinions on the updated Stability or Convergence Programmes, can be found in the following documents: Belgium Bulgaria Czechia Denmark Germany Estonia Ireland Greece Spain France Croatia Italy Cyprus Latvia Lithuania Luxembourg Hungary Malta The Netherlands Austria Poland Portugal Romania Slovenia Slovakia Finland Sweden Council recommendations on the National Reform Programmes 2022 to each member state, delivering Councio opinions on the updated Stability or Convergence Programmes Council explanatory note accompanying document to Council recommendations to member states under the European Semester 2022 Commission recommendations European Semester in 2022 (timeline) European Semester (background information) |
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| ● Council of the EU | | | 17/06/2022 18:21 | MEETING | | | | | The Council discussed the current economic and financial situation, in the context of rising inflation. It approved the Polish recovery plan under the RRF. It agreed its position on the Solvency II directive and the alternative investment fund managers directive. The Council also adopted a recommendation on Croatia entering the euro zone as of 2023. |
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Council of the EU
Economic and Financial Affairs Council, 17 June 2022
Main results
Economic and financial situation
Over breakfast, ministers had an informal exchange of views on the current economic and financial situation, in the context of rising inflation.
EU economy and finance ministers agreed to continue to coordinate economic policies to respond to the rise in inflation, especially with temporary measures to protect the most vulnerable households.
Infographic - EU budget 2021-2027 and recovery plan
See full infographicEU’s new own resources
Following the interinstitutional agreement of 16th December 2020, EU economy and finance ministers discussed the proposed decision on the system of new own resources of the European Union. This discussion was based on a Presidency note and covered inter alia the carbon border adjustment mechanism (CBAM) and the EU emissions trading system (EU ETS).
Ministers expressed their views on the introduction of new own resources to ensure the repayment of the EU recovery plan, and on the timetable for their implementation.
Recording of the discussion at Ecofin CouncilPresidency progress report on new own resources of 10 June 2022EU budget (background information)Anti-money laundering
The Council took note of the state of play as regards the legislative package on anti-money laundering.
Anti-money laundering and countering the financing of terrorism (AML/CFT) – Progress reportAnti-money laundering and countering the financing of terrorism (AML/CFT) – NoteFight against money laundering and terrorist financing (background information)Solvency II
The Council agreed its position (general approach) on amendments to the Solvency II directive, the EU's main piece of legislation in the insurance area. The Council underlined that the insurance and reinsurance sector can provide private sources of financing to European businesses and can make the economy more robust by providing protection against a wide range of risks.
Solvency II: Council agrees its position on updated rules for insurance companies (press release, 17 June 2022)Alternative investment fund managers directive
To improve the European capital market and strengthen investor protection, the Council reached agreement on its position (general approach) on a review of the alternative investment fund managers directive, which is the legislative framework which governs managers of hedge funds, private equity funds, private debt funds, real estate funds and other so-called alternative investment funds in the Union.
Capital Markets Union: Council agrees its position on updated rules for hedge funds, private debt funds, and other alternative investment funds (press release, 17 June 2022)Capital markets union (background information)Infographic - Recovery fund: the EU delivers
See full infographicImplementation of the Recovery and Resilience Facility (RRF) and Poland’s plan
Ministers took stock of the implementation of the Recovery and Resilience Facility (RRF). The Council adopted its implementing decision on the approval of the recovery and resilience plan (RRP) of Poland.
The Recovery and Resilience Facility is the EU’s programme of large-scale financial support in response to the challenges the pandemic has posed to the European economy. The facility’s €672.5 billion are used to support the reforms and investments outlined in the member states’ recovery and resilience plans. €100 billion have already been disbursed.
NextGenerationEU: ministers approve the assessment of Poland’s national plan by the European Commission (press release, 17 June 2022)A recovery plan for Europe (background information)European Semester 2022: country-specific recommendations agreed
The Council approved the recommendations on the 2022 National Reform Programmes and delivered an opinion on the 2022 Stability and Convergence Programmes. They take into account the spring 2022 forecast and the continuation of the Stability and Growth Pact’s general escape clause into 2023 and address the budgetary stance of member states in qualitative rather than quantitative terms, given the exceptional current circumstances.
European Semester 2022: country-specific recommendations agreed (press release, 17 June 2022)European Semester in 2022 (timeline)European Semester (background information)
Bruno Le Maire, President of the Council, and Zdravko Marić, Deputy Prime Minister and Minister for Finance, Croatia, at the adoption of the first legal act on Croatia's accession to the euro area (Luxembourg, 17 June 2022)
Infographic - How EU countries join the euro area
See full infographicEnlargement of the euro area: Croatia
The Council adopted a recommendation which is the first part of a legal process which will enable Croatia to become a member of the euro area and to benefit from using our common currency, the euro, as of 1 January 2023.
The Council also endorsed a letter by the President of the Ecofin Council to the European Council. The European Council will discuss the matter at its meeting on 24 June.
Croatia will be the 20th EU member state to adopt the euro as its currency. It follows the footsteps of Lithuania, which joined the euro area as 19th EU member state in 2015.
Euro area member states recommend that Croatia become the 20th member of the euro area (press release, 16 June 2022)International role of the euro (background information)Joining the euro area (background information)Financial services legislation
The Presidency presented the state of play as regards current legislative proposals in the field of financial services.
Progress on financial services legislative filesDigital finance (background information)Fight against VAT fraud: EU-Norway agreement
The Council considered it timely to further strengthen cooperation with Norway as regards administrative cooperation, combating fraud and recovery of value added tax (VAT) claims. To this end, it authorised the Commission to open negotiations with Norway in order to strengthen an agreement between the EU and Norway which entered into force in 2018.
Fight against VAT fraud: Council authorises deepening cooperation with Norway (press release, 17 June 2022)Conclusions on “Code of Conduct” Group (business taxation)
The Council adopted conclusions on the progress achieved by the “Code of Conduct” Group (Business Taxation) during the French Presidency.
The Council also approved the 6-monthly COCG report.
Business taxation: Conclusions on the work of the Code of Conduct Group (press release, 17 June 2022)EU list of non-cooperative jurisdictions for tax purposes (background information)International procurement instrument
The Council adopted a regulation to promote reciprocity in access to international public procurement markets, which will ensure access and a level playing field for EU companies on third countries' public procurement markets, thereby increasing business opportunities for these companies.
International Procurement Instrument: Council gives green light to new rules promoting reciprocity (press release, 17 June 2022)Energy taxation directive
As an item without discussion, the Council took note of a progress report on the revision of the energy taxation directive.
Progress report by the French PresidencyMeeting information
Meeting n°3883
| ● Council of the EU | | | 17/06/2022 15:03 | MEETING | | | | | FAC Trade ministers met in Geneva in the margins of the WTO 12th ministerial conference. |
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Council of the EU
Foreign Affairs Council (Trade), 12-15 June 2022
Main results
WTO ministerial conference
The Council of EU trade ministers met twice in the margins of the 12th Ministerial Conference of the World Trade Organisation, which took place in Geneva from 12 to 17 June.
A first meeting took place at the beginning of the conference, where the Council adopted conclusions setting out the EU’s position for the Commission’s negotiations. Subsequently, the Commission regularly consulted member states on developments throughout the conference. A second meeting of EU trade ministers took place on Wednesday 15 June, providing an update on the negotiations at the start of their final phase.
At the end of the conference, the Council adopted conclusions where it welcomed the results achieved with regard to the prohibition of subsidies for illegal and unregulated fishing, trade in essential medical goods, including through the introduction of flexibilities on intellectual property for access to Covid vaccines, food security, the WTO reform and on the extension of the moratorium on customs duties on electronic transmissions.
The Council also shared the positive assessment of the overall package achieved, which demonstrates the relevance of trade multilateralism to help address global challenges.
Meeting information
Meeting n°3879
Geneva
12 June 2022
12:30
Preparatory documents
Provisional agendaBackground brief
| ● Council of the EU | | | 17/06/2022 13:28 | MEETING | | | | | The Cooperation Council will discuss the state of play and next steps of the EU-Kazakhstan Enhanced Partnership and Cooperation Agreement. It will then exchange views on political, economic and trade matters (including internal reforms, rule of law and human rights, regional trade) and cooperation. The delegations will also touch on regional and international developments and cooperation, including security. |
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