Finance ministers of the eurozone concluded that though geopolitical uncertainty remains high, the latest figures continue to indicate the resilience of European economy. Positive economic growth and persistently low unemployment rate are the key positive factors. External developments still represent major challenges including industrial policy of key global counterparts, with particular reference to China.
The Eurogroup meeting chaired by its President Paschal Donohoe took place on Wednesday evening, 12 November. Finance ministers of the eurozone debated a broad array of topics from geopolitical and technological developments to fiscal policy coordination in the euro area.
Positive assessment for banks
The Eurogroup meeting included regular hearing from the chair of the European Central Bank’s Supervisory Board and an update on the work of the Single Supervisory Mechanism. The reports were reassuring—the stress tests carried out in summer gave the banks a positive assessment.
Our aim is to find ways to encourage our banks to invest in their long-term growth, particularly in the context of accelerating digitalisation. – Paschal Donohoe, Eurogroup President
“Our aim is to find ways to encourage our banks to invest in their long-term growth, particularly in the context of accelerating digitalisation,” said Eurogroup President Paschal Donohoe in this context. Mr Donohoe also noted that “it is essential to uphold this principle of high financial stability standards and to look carefully at simplification measures.”
We anticipate a successful conclusion of the legislative work on the digital euro, and aim at turning that legal agreement into an actual reality. – Paschal Donohoe, Eurogroup President
Ministers also discussed stablecoin developments in the world and the future of digital finance, with special regard to the digital euro. “We heard from the European Central Bank and from President Lagarde about all of the work that is underway now to anticipate a successful conclusion of the legislative work on the digital euro, and then turn that legal agreement into an actual reality,” said President Donohoe.
A club of twenty members
The Eurogroup is the recognised collective term for the informal meetings of the finance ministers of the eurozone, i. e. those EU member states which have adopted the euro as their official currency. The group currently has 20 members. It exercises political control over the currency and related aspects of the Economic and Monetary Union such as the Stability and Growth Pact.
The Eurogroup was established at the request of France as a policy co-ordination and consultation forum on eurozone matters. Its first meeting was held in June 1998 in Luxembourg.
