The European Commission has approved a recommendation to the Council of Ministers regarding the general economic policy guidelines for 1998 for the European Union and its member states. The two main priorities are ensuring a high level of employment and the successful economic and monetary union (EMU).
The Commission emphasizes the need to implement stability-oriented monetary policies, make substantial efforts to achieve and maintain sound public finances, and wage developments through strengthening social dialogue. These are the first guidelines presented after the May 2 decision on the 11 countries that will adopt the single currency, the euro, from January 1, 1999. The Commission’s recommendation reflects the need for more effective and functional coordination of economic policies in the EMU. In particular, greater emphasis is placed on recommendations specific to each individual member state, compared to previous years. The guidelines will be discussed at the Council of Finance Ministers before being submitted in June for approval to the Cardiff European Council.
