EU competitiveness ministers reach consensus on Draghi report

Loga, who chaired the meeting of the Competitiveness Council, said in a statement to the press that member states were in agreement that the report had correctly identified areas in which European competitiveness lagged behind and required intervention. He added that there was “serious debate” over the kinds of economic policy measures that would allow advances in those areas, he added.

Positions were at odds over whether issuing more joint debt was worthwhile, he said. He added that taking responsibility for other member states’ debt was a “very sensitive issue” for some at the meeting.

A number of ministers at the meeting argued for keeping the current system regulating state aid in place, especially rules on financing investments that accelerate the green transition, Loga said.

He noted that the Draghi report estimated member states needed to invest EUR 750bn-800bn a year to boost competitiveness.

Another important topic at the meeting was reducing the administrative burden for SMEs, he added.

He said a number of member states had pointed to distortions in e-commerce from the aspect of consumer protection and market influence, and some had urged concrete intervention.

Hungary’s presidency of the Council of the EU organised an automotive industry conference with a number of important speakers in Brussels on Thursday, he said. All agreed that the sector faced big challenges with regard to innovation and strengthening competitiveness, he added.

“Those challenges need to be addressed as quickly and as adequately as possible, because delayed intervention could result in a competitive disadvantage from which it is impossible to recover,” he warned.