Euro Summit: Deepening of Economic and Monetary Union to continue

Government Communications Department 13.12.2019 15.01 | Published in English on 13.12.2019 at 18.20
Press release 672/2019
Photo: European union

Meeting in Brussels on Friday 13 December, the Euro Summit of the EU27 leaders discussed further work on the deepening of the Economic and Monetary Union. The Euro Summit tasked the finance ministers with continuing the work on strengthening the banking union, finalising the European Stability Mechanism (ESM) package of reforms, and establishing a Budgetary Instrument for Convergence and Competitiveness (BICC) for the euro area in the context of the multiannual financial framework (MFF). The Euro Summit will come back to these issues at the latest in its June 2020 meeting.

“The development and deepening of the Economic and Monetary Union is a strategically important goal for Finland, too, and we have now tasked the finance ministers with continuing these resolute preparations. Completing the banking union and establishing workable debt restructuring procedures are a key part of this package,” said Finland's Prime Minister Sanna Marin.

Finland is striving for a strengthened banking union based on investor liability. Finland considers it important to create a common deposit guarantee scheme, but one that is fair and an insurance-type arrangement. 

Finland also supports a strengthening of the ESM. Before any financial assistance is granted from the ESM, the debtor's repayment capacity must be ensured and public debt must be restructured if necessary. 

Financing of the BICC should, in Finland's view, be arranged primarily as part of the EU's multiannual financial framework. 

The European Council, meeting without the United Kingdom, noted the result of the UK’s parliamentary elections held yesterday.

“It now looks likely that the withdrawal agreement will pass through the UK’s House of Commons. The EU, for its part, is ready for negotiations with the UK on the future relationship,” said Prime Minister Marin.

The European Council will follow the negotiations closely and, if necessary, provide further guidance to the European Commission, which will be engaged in the negotiations on behalf of the EU.

Inquiries: Jari Luoto, State Under-Secretary for European Affairs, tel. +358 50 468 5949, Pilvi-Elina Kupias, Special Adviser (EU Affairs), tel. +358 295 160 995, Kare Halonen, State Secretary for EU Affairs, tel. +358 295 160 319, Anne Sjöholm, Head of Communications for EU Affairs, tel. +358 40 537 0733, Prime Minister's Office