EU ministers adopt new rules on economic governance and on credit rating agencies

On 13 May 2013, the Council adopted two regulations relating to economic governance in the euro area. Ministers also adopted a directive and a regulation amending the EU's rules on credit rating agencies.

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Economic governance

The regulations relating to economic governance in the euro area 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.

This "two-pack" consists of:

• a regulation on enhanced monitoring and assessment of draft budgetary plans of euro area member states, with closer monitoring for those in an excessive deficit procedure;
• a regulation on enhanced surveillance of euro area member states that are experiencing or threatened with serious financial difficulties, or that request financial assistance.

 Economic governance: Council adopts "two-pack" (press release - pdf).

Credit rating agencies (CRAs)

The aim the package relating to CRAs is to reduce investors' over-reliance on credit rating agencies, mitigate conflicts of interest and increase transparency and competition in the sector.

Adoption of the regulation and the directive follows agreement reached with the European Parliament at first reading on 27 November 2012, and subsequent approval by the Permanent Representatives Committee on 5 December 2012.

 Council adopts new rules on credit rating agencies (press release - pdf).

Both decisions were taken without discussion at a meeting of the Agriculture and Fisheries Council.