With Covid 19 hitting hard on the economy and life of the people, the European Union has come up with some major suggestions for focussing on relaunching sustainable growth and on the most urgent challenges brought about by the pandemic.
The European Union Commission, which is the executive branch of the EU, made suggestions,. The recommendations are based on two objectives. One of the recommendations is to mitigate severe negative socio-economic consequences. The other one is sustainable and inclusive growth based on green transition and digital transformation.
The recommendations focus on investing in public health, resilience of health sector, investing in people and skills, preserving employment through income support for affected workers, supporting corporate sector (mainly small and medium-sized enterprises). It also focuses on taking action against money laundering. Investment and recovery should go hand-in-hand, the EU commission said in an official communication.
The EU Commission pointed out that a coordinated European economic response was crucial for re-launching economic activity. This approach was needed for mitigating the damage to the economic and social fabric, and to reduce divergences and imbalances. The European Semester of economic and employment policy coordination therefore constitutes a crucial element of the recovery strategy.
Meanwhile, Executive Vice-President for an Economy that Works for People Valdis Dombrovskis said that Coronavirus had hit like an asteroid and left a crater shaped hole in the economy. The focus is on investing in public health and protecting jobs and companies, Valdis Dombrovskis said.
Commissioner for Jobs and Social Rights Nicolas Schmit said that the top priority is for supporting workers, fighting inequalities, guaranteeing people the right to develop their skills and reinforcing social protection.
Commissioner for Economy Paolo Gentiloni opined that the focus should be on strengthening healthcare, saving the business and supporting the workers. The investment and reform objectives should focus on making a success of the green and digital transitions and ensuring social fairness.