Thank you. Good evening, everyone.
Todays main discussion centered on the macroeconomic outlook and the impacts of the uncertain global and geopolitical landscape on the euro area economy.
Recent US announcements indicate that their commitment to the transatlantic partnership is uncertain.
We regret the tariff measures announced and are prepared to respond firmly.
Trade policy uncertainties are negatively affecting the global economy, including the US.
The EU is also impacted as investment is curbed and external economic boosts are reduced.
Additionally, rising energy prices have been a drag on the economy in recent months.
Despite challenges, conditions for gradual growth recovery remain.
The labor market is expected to stay resilient, and the disinflationary process is on track, despite higher energy prices lifting headline inflation.
The EU economy is predicted to grow slower than the autumn forecast, with high uncertainty.
The euro area must prepare for an unpredictable international environment, leveraging strengths and addressing weaknesses urgently.
More responsibility for security and defense is needed, alongside improving competitiveness and economic fundamentals.
Action is required now for long-term prosperity.
The Euro Area Recommendation, endorsed today, serves as policy guidance, highlighting productivity and innovation improvement needs.
It emphasizes strengthening the Single Market and advancing the Savings and Investment Union.
Turning recommendations into outcomes requires collective effort.
The Commission supports the Eurogroup work program presented today, outlining steps to tackle challenges.
These include enhancing competitiveness, supporting public finances, and progressing on the digital euro project.
As noted, we have a busy year ahead.
The meeting began with Bulgarias progress towards euro area membership.
Bulgaria has progressed on price stability, the last unmet criterion in the 2024 report.
Inflation developments in Bulgaria will be closely monitored.
We encourage Bulgaria to maintain sound finances and look forward to their fiscal structural plan.
Minister Petkova reassured us of legal changes for central bank independence, and further progress on ERM II commitments is expected.
The Commission supports Bulgarias efforts to adopt the euro.
Thank you.