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Coronavirus COVID-19

Pedro Sánchez demands clear and forceful financing commitment from EU to overcome crisis

Moncloa Palace, Madrid, Thursday 26 March 2020

The Heads of State and Government of the European Union continue to focus their efforts on limiting the spread of the virus, guaranteeing the supply of medical equipment, promoting research into a vaccination, addressing the socio-economic impact and offering a solution to EU citizens that are currently in third countries.

Economic measures

The President of the Government highlighted the emergency situation in Spain and other countries. With the backing of Italy and some other States, the Government of Spain demanded that the European Union provide a clear and forceful financing response in the medium and long term. To achieve that, the European Council has approved a deadline of two weeks for the Eurogroup to present a new proposal.

"If we don't propose a unified response to resolve this economic crisis now that is powerful and effective, the impact will not only be greater, but its effects will last longer and we will be endangering the whole European project", said Pedro Sánchez. "We mustn't make the same mistakes as in the financial crisis in 2008, which sowed the seeds of disaffection and division in the European project and led to the rise of populism. We must learn from that lesson", he concluded.

The President of the Government, together with eight other European leaders, sent a letter to the President of the European Council, Charles Michel, this week, advocating the need to work on a common debt instrument issued by a European institution to obtain funds from the market, on a level playing field and to the benefit of all Member States, thus guaranteeing long-term stability in financing policies necessary to counteract the harm caused by the pandemic.

The President of the Government highlighted the need for a reconstruction plan that allows the European Welfare State mechanisms to be strengthened, and to develop resilience mechanisms through our cohesion and agricultural policies; a plan that was contained in the Conclusions from the European Council.

The President of the Government also pointed to the need to improve the effectiveness of industrial policies through digitalisation and the establishment of secure value chains.