Today, on 23.04.2024, the European Parliament adopted the new EU fiscal rules with 367 votes in favour, 161 votes against and 69 abstention. Henrike Hahn, Member of the European Parliament (The Greens/EFA) and substitute member of the ECON committee comments:

“We need sustainable and realistic rules for debt reduction in Europe. This opportunity was lost with this reform. Instead of enabling debt sustainability, sustainable finances and sufficient space for investments in the green transformation, the new rules, despite the necessary caution when it comes to counter-financing, rely on debt reduction that does not meet the needs of this time.

Without crucial public investment in combating climate change and strengthening the competitiveness of a green economy, achieving our climate goals is all but impossible. In Germany alone we can already expect annual damages in the double-digit billion range if climate change is not seriously addressed. Financing today will be significantly cheaper in the long term than combating the consequences. Not only the transformation of our economy, but also the welfare state in Europe will suffer from the new rules."

 

I would be happy to answer any further questions.