06 SEP 2010
By Leigh Phillips
EUOBSERVER / BRUSSELS - As EU Council President Herman Van Rompuy's economic governance task force reconvenes on Monday (6 September), the fiscal situation of many in the bloc remains parlous.
Concerns of a double-dip recession echo across the Atlantic, and bond yields for the EU's more troubled countries stubbornly keep rising as if the promise made in May of a €750-billion eurozone bail-out should things go truly wrong had never been made.
Having first met toward the end of May and a further two times before the summer recess, the task-force set itself four goals under the rubric of "stronger economic cohesion of the union" - a phrase that from the beginning produced conflicting interpretations from London, France and Berlin.
Beyond the construction of new crisis-response mechanisms - some of which are now already being imposed - the task force is also to come up with proposals for strengthening economic governance, to give teeth to EU rules on budget discipline that have historically been flouted with impunity and, finally, a way to reduce the divergences in competitiveness.
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