On the presentation of the first Annual Growth Survey the European Commission advised members states not to cut on R&D and education to lower their deficits.
On the 12th of January, José Manuel Barroso, European Commission President, in the presentation of the first Annual Growth Survey said, “We face a simple job: a decade of debt or a generation of growth.”
To the European Commission such growth can only be achieved if “all member states primarily adjust their expenditure, while protecting growth-friendly expenditure especially education, research and innovation.”
The first Annual Growth Survey is an attempt by the European Union to respond to the financial crisis, stabilise the Euro and to encourage economic growth.
According to it the European Commission sees three priorities and proposes ten actions.
The three priorities are macro-economic stability, structural reform and growth-enhancing measures. Among the ten actions are implementing rigorous fiscal consolidation, ensuring the stability of the financial sector, tapping the potentiality of the Single Market and attracting private capital to finance growth.
According to the European Commission this means “supporting business and investing in the growth industries of the future like green energy, innovative start-ups and advanced manufacturing.”
The European Commission expects the member states to submit their final reform programmes in April. In June the Commission will access the plans and then make their recommendations. “We hope that all member states now specify the national targets as they have committed,” said Jose Manuel Barroso.
The Annual Growth Survey also prepares the implementation of the Europe 2020 strategy.