Sittings · Document

DRAFT OPINION (2025/2214(INI)) 2025-11-27

On the European Semester for economic policy coordination 2026

Committee on Budgets · Rapporteur: Damian Boeselager

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AMENDMENTS

The Committee on Budgets submits the following to the Committee on Economic and Monetary Affairs, as the committee responsible :

Amendment 1

Motion for a resolution

Citation 24 a (new)

Motion for a resolution

Amendment

– having regard to the Commission proposal for a Council regulation laying down the multiannual financial framework for the years 2028 to 2034 (COM(2025)0571),

Or. en

Amendment 2

Motion for a resolution

Citation 24 b (new)

Motion for a resolution

Amendment

– having regard to the remarks by Alfred Kammer, Director of the European Department of the International Monetary Fund entitled ‘Making European Reforms a Success on the Ground: Leveraging the EU’s production hubs while leaving no one behind’;

Or. en

Amendment 3

Motion for a resolution

Citation 24 c (new)

Motion for a resolution

Amendment

– having regard to the OECD (Organisation for Economic Co-operation and Development) Economic Surveys: European Union and Euro Area 2025 of July 2025;

Or. en

Amendment 4

Motion for a resolution

Citation 24 d (new)

Motion for a resolution

Amendment

– having regard to the European Court of Auditors’ special report 21/2025 of 27 October 2025 on Recovery and Resilience Facility support for an improved business environment, and special report 10/2025 of 10 March 2025 on labour market reforms in the national recovery and resilience plans;

Or. en

Amendment 5

Motion for a resolution

Recital A

Motion for a resolution

Amendment

A. whereas the European Semester plays an essential role in coordinating and aligning economic and budgetary policies in the Member States;

A. whereas the European Semester plays an essential role in aligning economic and budgetary policies in the Member States and advancing the EU’s common priorities, including progress made by Member States towards achieving the Sustainable Development Goals;

Or. en

Amendment 6

Motion for a resolution

Recital A a (new)

Motion for a resolution

Amendment

A a. whereas the Commission put forward its proposal for the next multiannual financial framework (MFF) in July 2025, which includes a reinforced role for the European Semester, making it part of the proposed ‘steering mechanism’ in the annual budget procedure;

Or. en

Amendment 7

Motion for a resolution

Recital B

Motion for a resolution

Amendment

B. whereas the European Semester recommendations in 2026 will play an essential role in the design of the national and regional partnership plans to be prepared by Member States in 2027;

B. whereas the European Semester recommendations in 2026 will play an essential role in the design of the national and regional partnership plans to be prepared by Member States in 2027 as part of the proposed policy reference framework;

Or. en

Amendment 8

Motion for a resolution

Recital E

Motion for a resolution

Amendment

E. whereas the EU is facing major challenges, ranging from threats arising at its eastern borders to geopolitical instability and trade uncertainty, while long-term challenges such as the green and digital transitions remain;

Or. en

Amendment 9

Motion for a resolution

Recital H a (new)

Motion for a resolution

Amendment

H a. whereas according to the International Monetary Fund, structural reforms to deepen the single market could boost the EU’s growth potential;

Or. en

Amendment 10

Motion for a resolution

Paragraph 2

Motion for a resolution

Amendment

2. Notes that, according to the Commission’s autumn 2025 economic forecast, the EU’s GDP is expected to increase by 1.4 % in 2025 compared to 2024;

2. Notes that, according to the Commission’s autumn 2025 economic forecast, the EU’s GDP is expected to increase by 1.4 % in 2025 compared to 2024; notes that growth in labour productivity has been weak, and that it has been falling continuously since 2014;

Or. en

Amendment 11

Motion for a resolution

Paragraph 4

Motion for a resolution

Amendment

4. Expresses concern that insufficient private and public investment is likely to hinder sustainable growth in Europe and prevent the EU from meeting the common priorities stated in the EU strategic agenda 2024-2029; insists on the crucial role of the next MFF not only to provide public investment but also to help mobilise private investment and underlines in this context that financial instruments and budgetary guarantees are powerful and effective tools to achieve critical EU policy goals as well as financial instruments as a service;

Or. en

Amendment 12

Motion for a resolution

Paragraph 4 a (new)

Motion for a resolution

Amendment

4 a. Stresses that the EU budget must be carefully coordinated with national spending and designed in such a way that it contains elements to de-risk, mobilise and leverage private investment effectively, ensuring fair opportunities for all Member States, particularly smaller economies, so that they can attract capital and drive sustainable growth, and enabling startups, scaleups and small and medium-sized enterprises to access funds more readily while ensuring the additionality of the EU budget;

Or. en

Amendment 13

Motion for a resolution

Paragraph 5

Motion for a resolution

Amendment

5. Recalls that extreme weather events have a material impact on public finance;is aware that the impact and frequency of extreme weather events will only increase in the coming years as a result of climate change;

5. Recalls that, according to the Commission, extreme weather events have a material impact on public finance and financial stability, and have chronic economic impacts such as permanent productivity losses; is aware that the acute impacts of extreme weather events will only increase in the coming years, as their severity and frequency increase as a result of climate change;

Or. en

Amendment 14

Motion for a resolution

Paragraph 8

Motion for a resolution

Amendment

8. Notes that on average the employment rate in the EU has reached a record-high level; welcomes the integration of the social convergence framework into the joint employment report of the European Semester; emphasises that intergenerational fairness must become a structural component of the European Semester; calls, furthermore, for better alignment with the annual rule of law reports;

Or. en

Amendment 15

Motion for a resolution

Paragraph 11

Motion for a resolution

Amendment

11. Expresses concern over the fact that the RRF is coming to an end in 2026 and over the impact that this might have on the EU’s overall fiscal stance;

11. Expresses concern over the fact that the RRF is coming to an end in 2026 and over the impact that this might have on the EU’s overall fiscal stance, as well as the negative impact it will have on investment;

Or. en

Amendment 16

Motion for a resolution

Paragraph 13

Motion for a resolution

Amendment

13. Notes the Commission’s commitment to use the European Semester to promote competitiveness, sustainability and social fairness, as well as to integrate the UN Sustainable Development Goals and the European Pillar of Social Rights into the European Semester; notes, however, that CSRs remain compartmentalised under economic, social and environmental targets, with fiscal and economic policy priorities being detached from the other two components;

Or. en

Amendment 17

Motion for a resolution

Paragraph 13 a (new)

Motion for a resolution

Amendment

13 a. Recalls that the European Court of Auditors has assessed the use of CSRs within the RRF in two special reports (21/2025 on RRF support for an improved business environment and 10/2025 on labour market reforms in the national recovery and resilience plans), in which, while recognising that the RRF supported the implementation of the relevant CSRs and the implementation of the relevant milestones and targets, it noted the failure to bring about sufficient structural changes; echoes the Court of Auditors’ recommendation to ensure that the key challenges identified in CSRs be addressed and to set out a robust result framework for assessing the adequacy of measures;.

Or. en

Amendment 18

Motion for a resolution

Paragraph 14

Motion for a resolution

Amendment

14. Recalls the role of CSRs in coordinating EU priorities; notes the lack of progress in the effective implementation of the CSRs; calls on the Commission to rethink the way CSRs are developed and followed up; stresses that CSRs should be subject to stronger democratic oversight by the European Parliament; calls for the greater involvement of key stakeholders, such as social partners and civil society organisations, in the drawing up of CSRs;

14. Recalls the role of CSRs in coordinating EU priorities; notes the lack of progress in the effective implementation of the CSRs; calls on the Commission to rethink the way CSRs are developed and followed up; stresses that CSRs should be subject to stronger democratic oversight by the European Parliament; calls for the greater and more transparent involvement of key stakeholders, such as social partners and civil society organisations, in the drawing up of CSRs;

Or. en

Amendment 19

Motion for a resolution

Paragraph 15

Motion for a resolution

Amendment

15. Takes notes of the Commission’s intention to further reflect in the CSRs the actions that are instrumental to the savings and investments union, as announced in the Commission communication of 19 March 202510; recommends, in this regard, the drawing up of a ‘savings and investments union performance map’, including a comparison of the implementation of related EU directives and an assessment of Member States’ commitments to guiding public and private capital towards innovative companies;

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10 Commission communication of 19 March 2025 entitled ‘Savings and Investments Union – A Strategy to Foster Citizens’ Wealth and Economic Competitiveness in the EU’ (COM(2025)0124).

Or. en

Amendment 20

Motion for a resolution

Paragraph 16

Motion for a resolution

Amendment

16. Notes that CSRs are set to play a greater role in the next multiannual financial framework for guiding investment and reform at national and regional levels; is of the opinion that the selection of reforms and investments should be guided by their effectiveness in addressing the relevant CSRs, in particular for achieving a just transition towards a green economy, with reforms and investments mutually reinforcing each other and increased policy coherence with other documents underpinning the drawing up of national and regional plans as set out in the regulation; underlines that this process must be accompanied by stronger democratic scrutiny and a transparent procedure involving local and regional authorities, social partners and other relevant stakeholders;

Or. en

Amendment 21

Motion for a resolution

Paragraph 16 a (new)

Motion for a resolution

Amendment

16 a. Recalls that the RRF, by linking investments and reforms, facilitates better incentives to implement CSRs; calls for the next budget to better pair investment plans and CSRs and to cater for cross-border projects;

Or. en

Amendment 22

Motion for a resolution

Paragraph 17

Motion for a resolution

Amendment

17. Notes that the 2025 CSRs focus more on competitiveness and simplification; regrets the fact that fewer CSRs are dedicated to social and climate policies;

17. Notes that the 2025 CSRs focus more on competitiveness and simplification; regrets the fact that, according to the Commission’s own data, fewer CSRs are dedicated to social and climate policies;

Or. en

Amendment 23

Motion for a resolution

Paragraph 18

Motion for a resolution

Amendment

18. Recalls that the Draghi report forcefully demonstrated the need to increase public and private investment to boost EU competitiveness;

18. Recalls that the Draghi report forcefully demonstrated the need to increase public and private investment to boost EU competitiveness; recalls that investments in renewables, energy efficiency and the circular economy are crucial to preserving the EU’s strategic autonomy and competitiveness, as well as to addressing the cost-of-living crisis;

Or. en

Amendment 24

Motion for a resolution

Paragraph 19 a (new)

Motion for a resolution

Amendment

19 a. Calls for the stronger quantitative implementation of the European Semester framework through the introduction of common indicators and targets; praises, in this sense, the Digital Decade for establishing specific 2030 targets for Member States to meet;

Or. en