Economy and finance
The economic and financial crisis has inflicted severe disruptions on the European and global economy. This has been reflected in a significant retrenchment of private investment, mounting public indebtedness and rising unemployment.
Since the start of 2014, a tentative recovery is under way but the momentum is fragile and needs to be consolidated. Decisive policy measures are needed in order to stimulate investment, improve access to finance and encourage entrepreneurship and innovation.
Actions within economy and finance
At EU level, all available instruments must be coordinated and mobilised to better prioritise competitiveness and sustainable growth. In particular, the EU must address fundamental barriers to growth by achieving a truly integrated single market, taking forward plans to build a Capital Markets Union, completing the Banking Union and removing remaining obstacles to investment.
Member States in turn need to improve their record of implementing structural reforms and create a regulatory environment that encourages business investment and competitiveness. Delays in necessary reforms mean that we are losing ground with global competitors.
Facts and figures
While the EU is still occupied with the legacies of the crisis, other economies continue to press ahead.
- US growth is already 8% higher than in 2008, and as a consequence, around 1 million new jobs have been created.
- In contrast, EU output is 0.2% lower than its pre-crisis peak, and it has lost about 5 million jobs.
Real GDP in the EU and US (2008 = 100), 2008-2016
Source: European Commission, Ameco Database