Valdis Dombrovskis has no doubts. Western sanctions against Russia are having an effect, and Putin’s regime is in a deep economic crisis. Moreover, the negative effects will not only be felt in 2023, but will continue into 2024. “The sanctions are harsh and contribute to the economic recession in Russia. Together with other institutions, we expect GDP to continue to shrink this year. And it can be assumed that the economic headwind will continue for years to come.” This was stated by the Executive Vice President of the European Commission, Valdis Dombrovskis, in the press conference at the end of the Ecofin.
The Vice-President of the European Commission also addressed the reform of the Stability Pact. The debate on the reform of the Stability and Growth Pact “was a substantive and constructive debate. And there seems to be broad agreement on some key principles and goals.” This was stated by the Executive Vice-President of the European Commission, Valdis Dombrovskis, in the press conference at the end of Ecofin. “Our economies also need a credible system of economic governance to support favorable financing conditions for businesses and households and to provide space for the massive investments needed for the green and digital transitions and to strengthen our resilience,” he said . “We need credible rules that ensure public debt sustainability in all these sectors for all Member States with fiscally sustainable positions, using a tailored mix of fiscal adjustment reforms and investments.” of the psyche system of economic management that ministers spoke about today”.