Tomorrow, the European Parliament and European Council will convene
by videoconference to address the bloc's joint response to the
coronavirus crisis. The two institutions will focus their short
agendas on tackling the impact of the COVID-19 on the health and
economic consequences of EU citizens.
But what has the European Union been doing to respond to the
pandemic spreading throughout the world?
On Monday, ECOFIN approved – in an unprecedented move – the general
escape clause of the Stability and Growth Pact, enabling Member States
to take all the measures necessary to support their economies.
The European Commission has already launched the €37 billion
Coronavirus Response Investment Initiative (CRII) to counter the
growing demands in the most affected sectors, mostly healthcare,
labour markets and SMEs. Furthermore, the Commission launched last
week a new joint procurement for laboratory equipment with 19 Member
States, while putting €47.5 million from Horizon 2020 towards research
on vaccine development, treatment and diagnostics against
COVID-19.
The European Central Bank unveiled last Wednesday the €750 billion
Pandemic Emergency Purchase Programme (PEPP), in addition to €120
billion decided on 12 March, a financial plan aiming to expand its
asset purchases over the next nine months to support economic
activity, protect jobs and keep prices stable for consumers in the
euro area.
As economic activity in Europe will be drastically affected in the
coming weeks and months with thousands of jobs put at risk, the
European Union has decided to direct their efforts towards health and
fiscal policies. Nevertheless, public health remains an exclusive
competence of the Member States, leading to the adoption of unilateral
actions at times.
In coordination with the European Commission, Member States must
keep consulting each other in order to align their national responses
to this emergency and find a common solution to contain the spread of
COVID-19.
