Flaws in the initial design of the eurozone have made the effects of the global economic crisis deeper and longer, resulting in huge economic costs, real suffering for ordinary citizens and political tensions within and between EU member states.
Without major reform to complete the economic and monetary union (EMU), the EU won't get over the financial crisis properly or achieve a successful model of democratic, sustainable, cohesive and competitive growth. To guarantee the EMU's long-term sustainability, EMU reforms also need to involve relaunching a dynamic process to bring the economic structures of each EU country and region closer together within an inclusive and competitive single market.
In order to achieve this, we want to complete the banking union with a European deposit-guarantee scheme and to work on the ability for the EU raise its own revenues for the eurozone (the fiscal capacity). We need to reform the economic and monetary union (EMU) to help reduce inequalities.
We also believe in fully integrating the European semester (the framework for co-ordinating economic policies between member states) and reviewing the Europe 2020 strategy as it reaches midway through its work. We need to strengthen the democratic accountability of the eurozone through the European Parliament and to ensure the EMU is also built on social justice (see our Social Rights campaign).