European dialogue between economic and social partners was essential in order to better define and achieve the community's economic, social and environmental objectives, a European Parliament report stated yesterday.
The report, adopted yesterday, gave the opinion of the parliament on the proposal to allow 11 countries, including Ireland, to be in the first wave of the single currency. The resolution came in advance of the EMU summit tomorrow when the final decision will be taken by the EU Council of Heads of State or Government.
The parliament will sit in special plenary session earlier tomorrow to decide its final formal position on the recommendations of the Council of Economic and Finance Ministers (ECOFIN) which meets today on the countries to take part in the euro.
Yesterday's report welcomed the introduction of the single currency by the 11 countries which have fulfilled the requisite conditions and should like to enter the third stage of EMU on January 1st, 1999.
It pointed out that to ensure the independence of the European System of Central Banks, the national central banks of the member-states must be independent too. Although the necessary legislative procedures had been set in train in all countries, this process had not yet been concluded. Under the Maastricht Treaty, these legislative procedures should be concluded by July 1st, 1998, at the latest, it stated.
In a clear reference to the controversy surrounding the appointment of a President for the European Central Bank, the parliament called on the European Council to put forward a single candidate.
On the integration of markets, the report stated that significant progress had been achieved. However, a host of shortcomings remained; 21 per cent of the necessary measures had not yet been implemented in all memberstates.
For this reason, the single internal market must be expanded on the basis of an "action plan" to form a genuine European Home Market, which would be of particular benefit to small and medium-sized enterprises.