Thank you, Paschal. Good afternoon, everyone.
Let me begin with a few words on the economic outlook.
This year, the euro area economy is in slightly better shape than we had expected in the spring.
But, at the same time looking ahead, the growth outlook for 2026 has softened somewhat compared with our spring projections.
This underlines the importance and urgency of taking action on all levels to enhance our competitiveness and secure our prosperity.
The Commission will provide a detailed update on the economic forecast when we present our Autumn Economic Forecast in November.
A brief word on fiscal surveillance.
Maintaining sound public finances, while investing in key priorities such as security and defence, will remain critical in the period ahead.
As we enter the new European Semester cycle, I reminded ministers at todays meeting that the Commission looks forward to receiving their draft budgetary plans for 2026 by 15 October.
In fact, we have already received plans from the Netherlands and Finland.
The Commission will assess all plans for their compliance with the net expenditure paths recommended by the Council.
And we will present our assessment, as usual, in the European Semester Autumn Package currently scheduled for 25 November.
Moving to financial services topics.
We had a good discussion on Capital Markets Union.
Delivering on the Savings and Investments Union will require a combination of EU and national level measures.
Therefore, it was highly relevant that a number of national experiences were shared.
We also had an important discussion on the issue of stablecoins.
As you they are a substantial development with regard to our financial and payment systems and we need to balance the opportunities and risks related to stablecoins.
Supporting their safe and sound development, based on the MiCA Regulation, is paramount for our competitiveness and for ensuring opportunities for our financial sector to embrace innovation.
Finally, we discussed the international role of the euro and the digital euro, where we have seen encouraging signs that the regulation establishing the digital euro is moving forward with renewed momentum following our recent political agreement in Copenhagen on an approach to setting holding limits.
We need to build on this to realise the Danish Presidencys ambition to reach a common approach in the Council by the end of the year.
But we also need to go beyond the digital euro.
A stronger international role of the euro can help ensure that Europe controls its own destiny in a context of increased geopolitical fragmentation.
To achieve this objective, we need to press ahead with our well-known priorities, especially the implementation of the Competitiveness Compass, the Savings and Investments Union, and enhancing Europes defensive capabilities.
At the same time, we need to follow closely the rapid technological and geopolitical changes which may require further measures and policies.
It is therefore welcome that these issues will be discussed in this months Euro Summit.
Thank you.
