On 11 September 2019, the European Fiscal Board (EFB) published an assessment of the EU†i fiscal rules. The assessment was produced in response to a dedicated request by Commission President Jean-Claude Juncker†i as part of an ongoing comprehensive review of the EU fiscal framework with a focus on the six and two-pack legislation. It was carried out against three main criteria: (1) ensuring the long-term sustainability of public finances; (2) stabilising economic activity in a counter-cyclical fashion; and (3) improving the quality of public finances. The EFB proposes to overcome the complexity of the current EU fiscal framework by simplifying the EU fiscal rules and by improving the governance of the fiscal framework. The EFB advocates for a reformed Stability and Growth Pact which would be based on one single target (sustainable public debt), one single instrument (controlling net expenditure growth) and one general escape clause.
The European Fiscal Board (EFB) is an independent body mandated to advise the European Commission on the overall direction of fiscal policy of the euro area and to evaluate how the EU fiscal governance framework is implemented. It was formally established end 2015 and began operating shortly after its members were appointed in October 2016.
The opinions expressed in this document are the sole responsibility of the European Fiscal Board. They do not commit the European Commission nor do they necessarily reflect the views and positions of the institutions with which the Members of the Board are affiliated or work. The request is based on the main areas of responsibility set out in the Commission Decision (EU) 2015/1937 establishing the EFB.