Luxembourg, 16 June 2023 (TDI): Today, the Economic and Financial Affairs Council, in its final meeting under the Swedish presidency, discussed several crucial matters.
The Council witnessed a symbolic moment as Elisabeth Svantesson, Minister for Finance of Sweden, handed over the responsibility for Ecofin affairs to her Spanish counterpart, Nadia Calvino.
One of the main discussions centered around taxation, particularly VAT in the digital age. Ministers engaged in a policy debate, providing political guidance on key issues related to this legislative package.
The objective was to combat tax fraud effectively while minimizing administrative burden and friction within the internal market.
The Council also received a presentation on the state of current legislative proposals in the field of financial services. This update covered areas such as digital finance and the capital markets union. Ministers stressed the importance of maintaining the Council’s priorities from March throughout the negotiations.
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Furthermore, the Council reviewed the proposed reform of the economic governance framework. The framework consists of common rules that govern national fiscal and economic policies within the EU, ensuring macroeconomic stability and growth.
Ministers highlighted the framework’s instrumental role in achieving economic and fiscal policy goals, promoting convergence, and addressing macroeconomic imbalances.
In another development, the Council approved Estonia’s amended recovery and resilience plan, making it the first national plan to include a REPowerEU chapter. Throughout 2023, all member states are expected to submit revised plans to access REPowerEU grants and loans, accounting for the updated Recovery and Resilience Facility allocation.
The Council also finalized the country-specific recommendations on national reform programs for 2023, focusing on strengthening resilience and increasing growth. Ministers underscored the importance of pursuing responsible fiscal policies in the current economic climate, particularly in light of Russia’s aggression against Ukraine.
Additionally, ministers provided guidance for the upcoming G20 meeting of finance ministers and central bank governors. The G20 forum enables key countries to coordinate the global economy’s stable and sustainable growth by discussing major international economic issues.
At today’s #ECOFIN meeting ministers focused on:
💻 VAT in the digital age
📊🔎 economic governance review
📝 European SemesterFind out more 👉 https://t.co/XWqDgHcetV pic.twitter.com/ukeXfwTYxr
— EU Council (@EUCouncil) June 16, 2023
The Council approved conclusions on the progress achieved by the Code of Conduct Group on business taxation during the Swedish presidency. They also adopted the biannual Ecofin report to the European Council on tax issues, providing an overview of achievements and ongoing negotiations.
Finally, the Council acknowledged the eighth progress report on EU-NATO cooperation, highlighting tangible advancements across various areas.
It also adopted its position on extending the deadline for financing firefighting planes and helicopters to support the Union civil protection mechanism.
The Council’s productive meeting marks the successful conclusion of Sweden’s presidency, paving the way for further economic and financial developments within the European Union.
