FRANKFURT (MNI) – The Eurozone needs a more effective crisis
management framework, European Central Bank Executive Board member
Lorenzo Bini Smaghi said Friday.
While the responsibility for reforms lies primarily with member
states, the European framework does need to be strengthened, Bini Smaghi
said during a presentation at the ECB And Its Watchers Conference.
The European Commission’s recent reform proposal “is not going far
enough,” Bini Smaghi warned.
In future crises, he said, we “can’t wait another three month
before decisions are taken. We have to be able to take decisions very
quickly.”
He called for a strengthening of surveillance “over budgetary
policies and more effective prevention and correction of excessive
deficits and debts.”
In addition, there needs to be an improvement in the “framework for
competitiveness surveillance and the correction of economic imbalances
via a traffic light system,” he said.
Overall, “we need to strengthen the E of the EMU,” Bini Smaghi
asserted.
[TOPICS: MT$$$$,M$$EC$,M$X$$$,M$$CR$,MGX$$$]
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