Highlights

© European Union 2012
Cyprus minister of finance Vassso Shiarly
at the start of the meeting

The EU finance ministers meeting on 13 November discussed progress on legislative files aimed at improving economic governance. The agenda included the "two-pack", the revised capital requirements rules (CRD IV) and the banking supervisory mechanism. The non-legislative discussions included the proposal to negotiate amended savings tax agreements with a number of non-EU countries and adoption of conclusions on climate change financing.

Economic governance (the "two-pack"): updated negotiating mandate 

The Council reached consensus on a new negotiating mandate for the Presidency on this file. "We are hopeful that the flexibility thus shown by the Council will facilitate our ongoing negotiations with the European Parliament, so that we can reach the deal by the end of the year", said Cyprus minister of finance Vassos Shiarly, who chaired the meeting. 

The "two-pack" comprises two draft regulations aimed at improving economic governance in the euro area. They introduce enhanced monitoring of countries' budgetary policies and strengthened surveillance of the member states that are under a macroeconomic programme or an excessive deficit procedure. 

See more: press release (pdf) 

Climate change financing

The ministers endorsed a financial report prepared by the EU in 2012 covering "fast-start measures" to help developing countries combat the effects of climate change. The report will be presented at a UN climate change conference to be held in Doha from 26 November to 7 December. 

The Council confirmed that the EU is on track to meet its fast start finance commitment, since EUR 7.1 billion has been provided out of the cumulated commitment of EUR 7.2 billion  over the 2010–12 period. 

See more: Council conclusions on climate finance – fast start finance (pdf) 

Other items on the agenda included: 

• Bank Supervision: orientation debate by ministers. The debate covered legislation geared to establishing a single supervisory mechanism (SSM) for credit institutions in the euro area member states and in those EU member states that choose to participate in the SSM. 

See more: press release (pdf) 

• Revised capital requirements rules (CRD IV): presentation of the state of play by the Presidency. The revised capital requirements rules are aimed at implementing the so-called Basel III agreement, endorsed by the G20 members in 2010 and approved by the European Council. The aim of the CRD IV package is to make the EU's banking sector more resilient to financial shocks. 

See more: press release (pdf) 

• Financial transaction tax (FTT): presentation by the Commission. The proposed Council decision would enable a group of member states to begin enhanced cooperation on the FTT. So far 11 member states – Belgium, Germany, Estonia, Greece, Spain, France, Italy, Austria, Portugal, Slovenia and Slovakia – have indicated their intention to join in this cooperation. 

See more: press release (pdf)
09/10/2012 Financial Transaction Tax: towards enhanced cooperation?
13/03/2012 Financial transaction tax: first technical reading completed
09/11/2011 Financial transaction tax proposal on the Council's table

• Savings taxation: discussion on negotiations mandate. The Council discussed a mandate for the Commission to start negotiations with Switzerland, Liechtenstein, Monaco, Andorra and San Marino with a view to amending existing agreements with these countries on the taxation of savings income.

 See more: press release (pdf) 

More information:

• Press conference (video)