The Parliament should not allow its key demands on economic governance to be softened, but Greece is a case apart, says the EPP vice-president.

Interview: Stay tough on debtors

https://api.multimedia.europarl.europa.eu/documents/20125/15631779/N003-0123-EN.srt

A very easy question maybe for you,  but not for people watching us.

What is economic governance?  Why do we need to talk about this today?

We need new legislation  on economic governance

because when we see the current  problems in Greece, Ireland and Portugal,

we need to have  robust legislation in place

That's with regard to budgetary discipline,

but it's also with regard  to the macroeconomic imbalances,

productivity remaining at the same level  while wages are rising,

and then being surprised  that competitiveness is not in order.

Thirdly, what the Parliament  wants to achieve

is that we have to work together  for our future growth and jobs strategy.

That is the added value the Parliament  has put in this legislative package.

Today there is the so-called 'six pack'  on the table,

but it seems quite difficult  to get an agreement today.

The Parliament wants to put  more ambition into the package.

First, with regard to the rules  for fiscal discipline,

when we look at the past, these rules  were not respected by Member States.

Parliament wants to ensure  that the rules are respected,

so we want to introduce  a kind of reverse qualified-majority vote,

so that the Council can't avoid sanctions

when the Commission judges  that sanctions are needed.

Second, the EP wants the European  semester included in the package.

The European semester stands for  the integrated surveillance

of both fiscal discipline,  macroeconomic surveillance,

and also the EU 2020 strategy,  our future growth and jobs strategy.

Many groups say this is going  in the wrong direction.

Struggling economies are already at their  limit and this would push them more...

It's just one more social problem  in Europe.

When you look at Spain and Greece,  people are demonstrating today.

What do you say to them  when you propose the package?

those countries whose budgets were  in order with sustainable public finances

are the best-equipped  with regard to employment rates

and with regard to their growth figures.

So they are in the best shape  and they suffered the least in the crisis.

When we look now  at Greece and Portugal,

But this package has to prevent that  from happening again.

Therefore fiscal discipline combined  with this growth perspective is crucial

and the Socialists don't want to take  responsibility for fiscal discipline.

Some say, 'Increase taxes,  have a balanced budget.'

But, in a way, is this balanced budget  the first aim of everything?

No, it's about sustainable public finances.

It also looks into  the quality of public finances,

whether there is a good and efficient  employment or education system,

whether the public services  are in order and working efficiently.

When you only place the emphasis  on more taxes

this taxpayers' money comes either  from the citizens or from companies.

When they have to pay taxes,  they can provide fewer jobs.

Everybody was expecting one in April.  When will we have one?

We are aiming to get an agreement  before the June Council,

because the Member States  are connecting

and the packages  for Greece and Portugal.

They are connecting these  to this legislative package.

So if one cannot be decided,  neither can the other.

However, the Parliament will not retreat  from our key demands in the package.

So when the Council accepts  Parliament's position,

Last question,  and this would be a practical exercise.

if the economic governance,  as you are now explaining it, worked?

But when Greece comes out  of these problems

then we can prevent Greece  from getting into trouble again.