Economic governance "two pack" - Q&A
With the ink hardly dry on the economic governance "six pack", more legislation was proposed in an attempt to stem the tide of Eurozone governance troubles. The texts have now been scrutinised and amended by Parliament's Economic and Monetary Affairs Committee. But as parties are clearly divided on what tone to give to the legislation, a mandate from the plenary is being sought before opening negotiations with Member States.
The "Two pack" as proposed by the Commission
The legislative proposals presented late in 2011 in the form of two texts build on the economic governance "six pack" legislation, hence the name "two pack", and focus on strengthening Commission surveillance of national budgetary and economic policy and further economic policy coordination.
The texts introduce detailed procedures for persuading Member States to amend their national budgets in line with Commission recommendations. The one dealing with countries in particularly serious financial difficulties or in receipt of financial assistance, provides for even more stringent rules, thereby ensuring that clear procedures for these circumstances are embedded in EU law.