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OPINION (2023/2063(INI))

On the European Semester for economic policy coordination 2024

BUDG-AD-756095

Committee on Budgets · Rapporteur: Margarida Marques

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✦ In short · AI summary of this text, generated 26 Sept 2026

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The Committee on Budgets suggests amendments to the Committee on Economic and Monetary Affairs' motion for a resolution on the 2024 European Semester. It calls for a revised EU economic governance framework, new own resources, and protection of EU programmes from borrowing costs. It notes economic uncertainty, forecasts 1.3% GDP growth and 3.5% inflation in 2024, and warns of poverty risks. It asks for a permanent EU crisis instrument above the MFF ceilings and full Parliament involvement in economic governance.

Committee position. The Committee on Budgets calls on the Committee on Economic and Monetary Affairs to incorporate its suggestions into the motion for a resolution, covering economic governance reform, new own resources, rule of law, and Parliament's role.

Key points

  1. Notes the uncertain economic and social outlook from the pandemic, Russia's war against Ukraine, inflation and energy and cost-of-living crises, with forecast growth of 1.3% of GDP and inflation at 3.5% in 2024.
  2. Stresses that the current EU economic governance framework is inadequate and a revision is urgently needed, ensuring clear, flexible and transparent implementation and adequate fiscal space for growth-enhancing and socially just reforms.
  3. Recalls its position that an EU-level permanent crisis instrument, over and above the MFF ceilings, would ensure strategic investment and readiness to react to crises.
  4. Underlines the importance of rule of law compliance and the general regime of conditionality, and calls on the Commission to ensure no backsliding on rule of law achievements.
  5. Recognises the successes of NextGenerationEU, the Recovery and Resilience Facility and SURE in supporting recovery and macroeconomic stabilisation, and welcomes revised national plans including REPowerEU chapters.
  6. Welcomes the Commission's estimate that full implementation of NGEU Green Bonds milestones and targets until the end of 2026 could reduce greenhouse gas emissions by 44 million tonnes per year.
  7. Stresses that investments in line with European objectives, notably the RRF and REPowerEU, should be taken favourably into account when deciding on extensions for Member States to submit fiscal plans.
  8. Recalls the need to consider the particular financial and economic effects of the war in Ukraine, especially on frontline countries, and calls on the Commission to take necessary measures.
  9. Underlines the need for better policy coordination and increased social and educational dimensions in the European Semester, and notes the Commission's estimate of more than EUR 450 billion in annual investment needed to tackle climate change.
  10. Calls for a stable and predictable solution for repaying the European Recovery Instrument borrowing costs, over and above the MFF ceilings, to protect EU programmes from cuts.
  11. Strongly insists on the rapid introduction of genuine, adequate and effective new own resources, including a financial transaction tax and a financial contribution linked to the corporate sector or a new common corporate tax base.
  12. Calls for Parliament to be fully involved in reforming the economic governance framework and in the establishment and management of fiscal instruments, and for its role in the European Semester to be significantly strengthened.

Who is affected

  • Member States, which would gain fiscal space for reforms and investments and could receive extensions for submitting fiscal plans.
  • EU businesses and households, which face energy prices, inflation and increased poverty risks.
  • Frontline countries affected by the war in Ukraine, for which the Commission is asked to take measures.
  • The Commission, which is called on to present additional own resources proposals and ensure no rule of law backsliding.

Figures and deadlines

  • 1.3% of GDP, forecast EU growth in 2024.
  • 3.5%, expected inflation in 2024.
  • 2%, the level above which inflation is expected to remain.
  • 44 million tonnes per year, potential greenhouse gas emission reduction from NGEU Green Bonds until the end of 2026.
  • EUR 450 billion, estimated annual investment needed to tackle climate change.