Smart and inclusive growth ECO/327 Draft opinion Rapporteur: Etele Baráth dr. Expert: András Vértes dr

Nobody thought that… …the financial-economic crisis so quickly becoming a social-political-solidarity crisis; …it is so difficult to preserve economic stability and to create conditions for smart, sustainable and inclusive growth simultaneously; …in the weak countries output has started to fall;

…the EU-integration is becoming much more complex, multi-speed and infected with divergent nationalistic interests. The Europe 2020 Strategy and the first drafts of MFF had no possibility to fully incorporate the potential threat of these challenges.

Europe 2020… has to remain the growth strategy of the EU, but fine-tuned and adjusted, major mismatch is between the complexity of Europe 2020 and the modest instruments made available, discrepancies are between the long timeframe and the uncertain resources, institutional system of the implementation is weak.

the EU will have to have clear idea of where it is going to, accomplishment needs basic institutional changes, a federal system of biggest banks to strengthen confidence and investments, differentiated policies (North vs. South). For a successful implementation of Europe 2020

It is not enough just to define common strategic frameworks, it needs to define networks: for pan-European economic and territorial programmes, for cross-sectoral, multi dimensional programmes. Not only in time of crisis

Best means for an integrated, coordinated development 1. Partial financing of sovereign debt reducing structural reforms (create European Added Value)! Vision of a Connected Europe in a larger sense. Build up a new vision of Europe by Key Developments of European Interest.

Best means for an integrated, coordinated development 2. Macro-level regional and economic strategies. There is a need for a European Territorial Strategy. Reinforcement of polycentric urban network.

New definition of solidarity: community- led local development. Increasing role for certain soft factors: healthcare, quality of the environment, educational quality. Networking between individual urban and rural centres, hubs and other highly developed activities could be good examples for dynamic/inclusive growth. For a smart and inclusive future

An example for an integrated Europe 2020 strategy model The proposal on implementing the triple objectives of the Europe 2020 Strategy call for clear synchronisation between them. Networking, interdependence, and tapping into specific conditions in relation to different activities help to reconcile smart and inclusive growth, Sustainability is all about structure per se and links between mutually dependent activities.

Environment Employment Smart growth Inclusive growth Sustainable growth European Territorial Strategy Macro-regional cooperation Connecting Europe Employment package Human capital potential Job creating reforms Economic governance Economic and Monetary Union Internal market Development oriented governance EU 2020 Member States, regions and cities Cohesion oriented cooperation Cohesion Competitivenes s Sustainable development An Integrated Europe Working together in Europe Structural reforms Fiscal consolidation

Environment Employment Research, technological develeopment, infirmation and Communication, Competitiveness of the SMEs Promoting employment, labor mobility,social inclusion Combating poverty,. education and skillse, instutional capacity building Ressourse efficiency, climate change, risk prevention/ managment Sustainable transport and infrastructural development Ressource efficient Europe An industrial policy for the Globalisational era An Agenda for new skills European platform against poverty Innovation Union Digital Agenda for Europe Youth on the Move Multi-annual Finacial Framework EU 2020 Targets and thematic proposals Efficacy and efficiency use of Eu Funds Requirements for smart and inclusive growth Fiscal consolidation, normal lending to the economy, promoting growth,tackling the crisis Macro level Micro level Requirements for sustainable growth

The role of te EESC in the implementation of the EU 2020 Strategy There is dialectical conflict between dynamic (smart) and converging, inclusive development: - intrinsic to the idea of smart growth is constant renewal, acceleration, competition, defined in interest, - the concept of inclusive growth refers to social and environmental more slowly changing and progressing values, - the results of the balance between smart and inclusive growth are reflected in the chosen proportion, the concept of sustainable development.

One last proposal... Consider a 12th thematic objective with the topic of Media and Societal Dialogue. The situation needs efficient mobilisation of intellectual and material resources of the EU.

The EESC could do justice to its role if, on the basis of its compositon, it use its expertise and sophisticated methodology to express knowledge reflecting relations between interests, values and proportions.

Thank you for your attention