Juncker plan: true investment needed not profit-guarantees for private investors
Two GUE/NGL MEPs have commented following key European Parliament committee votes on Juncker's plan for a European Fund for Strategic Investment (EFSI).
Fabio De Masi, GUE/NGL shadow rapporteur on the EFSI's economic and monetary aspects, said: “Parliament managed to get some improvements into the EFSI proposal, but its concept remains fundamentally flawed. There is ample liquidity in financial markets which could easily be recycled for a true public investment programme with much greater net returns to society.
“This could be led by the EIB with backing from the ECB as well as by member state governments, if they were to scrap the stupid straightjacket that is the fiscal compact. Instead the EFSI creates a profit-guarantee scheme for private institutional investors, at the cost of taxpayers. What Europe needs is a New Deal of 500 billion euros additional public investment annually over ten years to kick-start the economy and bring an end to the economic and social crisis.”
Liadh Ní Riada, GUE/NGL shadow rapporteur on the budget elements of the file, commented: “We need smart investment to revive the economy, to enable a social sustainable green economy. Investment in research, infrastructure, education, SMEs, social enterprises, and cooperatives is needed to propel us out of this crisis.
“What we need is a 'true public investment plan' for Europe. One which invests in the people and not one that is essentially creating another financial bubble. The ordinary tax payer should not be paying for private profiteers.”
GUE/NGL Press Contacts:
Emily Macintosh +32 470 85 05 08
Gay Kavanagh +32 473 84 23 20
European United Left / Nordic Green Left
European Parliamentary Group