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"Mr President, Prime Minister of the Republic of Greece, ladies and gentlemen, we have just closed the chapter on that quite remarkable year, 2002, which began with the launch of the euro and ended with the decision to carry out the largest enlargement in Europe's history. This time last year, I laid stress on the unsustainable delivery gap between agreement on policy and action to turn policy into legislation. Thanks to the combined efforts of Parliament, the Commission and the Council, this gap has now been reduced. However, a similar gap is now forming in the area of the transposition of Community directives and decisions into Member States’ law. Thus, the problem of the practical implementation of these decisions is still partly to be resolved. Moreover, many of the national policy reforms which are necessary for the achievement of the Lisbon objectives still remain to be implemented. On the other hand, it is encouraging to see that there are Member States meeting and even exceeding many of the Lisbon objectives. These countries are a benchmark of world-beating performance and prove that the right policy mix can bring development on all fronts: economic, social and environmental. Progress has not been uniform throughout Europe, however. The unsatisfactory performance of some countries is holding back the overall development of the Union. This is why coordination at Community level is vital to encourage all the Member States to work towards the objectives that are in their own interest as well as in the interest of all the other Members of the Union. They will all benefit from macroeconomic stability, growth, more jobs and social inclusion. The Commission’s proposals for strengthening the coordination of budgetary policy and the proposals on the employment strategy point the way forward, and I welcome the fact that the Greek Presidency shares this commitment and is determined to play its part fully. We will make a good team. Ladies and gentlemen, the Lisbon strategy is an integrated strategy for sustainably boosting the European Union’s economy and meeting the major medium and long-term challenges before us. This is why, today, in the context of our strategy, I want to highlight the importance of investment in knowledge and innovation. We have made it our priority for this year. In addition to a list of things to do, with which we are all familiar and of which everyone is quite aware, there are moments when some factors assume more importance. I believe that, this year, knowledge, innovation, research and education are the genuine top priorities in a European Union which is lacking in human resources, which are falling in number, and which needs there to be an improvement in the quality of these resources. I have to say that this observation is a result of an analysis of the policy – implemented, in some cases against their will, by some of the Member States as a result of the restrictions – to reduce, in accordance with budgetary requirements, in some cases even because of the limits we ourselves have imposed, research expenditure first of all. If we look at the policy of many of the Member States, this has been the result, with a shift away from the 3% we set out in the major objectives of the Lisbon process. We must not make this mistake: we must help each other to avoid making this mistake. I am speaking so emphatically, if you will, because remarkable things are happening in the world. Asia’s capacity to absorb new technologies, the growing dynamism of the international markets, the market shares of many European countries which are eroded every year: all this means that the problem facing us is no longer theoretical but a question of our future survival, of the future balance of our economy, of preserving our wealth. Thus, knowledge and innovation are the driving force of sustainable development. Without investment and innovation, we will not achieve growth and we will not be able to maintain our present levels of prosperity. Many things are necessary: computers in our schools, lifelong learning, skilled, flexible employment. It is vital that we promote research into world-beating products and clean technologies, and we must help businesses turn knowledge into commercial opportunities. In my opinion, it is at precisely this last step – converting discoveries into innovation and exploiting them commercially – that European businesses fall down. Although the Union has made progress towards a knowledge-based economy and an analysis of the past three years is not discouraging, the fact remains that others are moving even faster and it still lags behind its main international competitors in terms of investment and performance. We still have far fewer researchers than the United States or Japan. Levels of public expenditure on education and research and development vary too greatly throughout the Union. Businesses need a dynamic environment that will stimulate this economic activity. Today, in Europe, such conditions are not widespread enough. Significantly and surprisingly – and I will give you just one statistic for this is not a theoretical discussion: we are here to take decisions – our largest companies are carrying out 40% of their research activities outside the Union. A startling figure. This is critical, for it means that researchers and resources are staying outside the Union. Clearly, we must invest in the future. We must be better coordinated and set more ambitious national targets in the fields of education, research and innovation, and we must do more to share our best practices. The accession of the candidate countries with their strong skills base will offer the Union enormous opportunities. Great emphasis has been placed on the fact that, after enlargement, these countries – those which have actually entered, having been given the political green light – will make up 20% of the population but only provide 5 or 6% of income. Yet this represents a 25% increase in applied scientists and engineers. In many cases, they are working in specific sectors, but once part of the European circuit, they will genuinely be able to give us great impetus. We must therefore make sure we are ready to absorb these human resources, to put them into circulation, to ensure that they become an active part of our economy. In this connection, the Commission will be launching an action plan for research and development. We must also as a matter of urgency address the matter of the legislative and administrative framework for the business world. Before I conclude, I would like, if I may, to make another personal observation. We can devise all the Lisbon processes we like, but if Europe does not become the centre of attraction for young talent, for the whole world, we will never achieve economic and scientific leadership. The United States are succeeding by using human resources from all over the world. Whereas our young people, who are going to the United States in ever-increasing numbers, stay there for the most part, I can tell you that the majority of Asians and Chinese – and there are currently tens of thousands of Chinese studying in the United States – go back home. Well then, if we do not find a way of inducing our young people to return home, if we do not build some large, top-level schools of excellence which are the symbol, the attraction of the future, which convey the impression that we are working for the future, we will never attract the young people, the best brains from the other continents, and we will never succeed in getting our own young people to stay in our continent. This is the crucial challenge, and this is why the Commission and I personally have called strongly for this matter to be taken up, as it must be, at the level of all the European countries, for if our young people are leaving Europe, if the situation is such that our businesses are setting up research laboratories outside Europe, particularly in the United States, I warn you that our horizons will become narrower and narrower, I warn you that, if we go on like this, all will be lost. Ladies and gentlemen, we have clear responsibilities towards our present and future citizens and towards the whole world in this field. We set ourselves the target of creating a competitive, knowledge-based society based on sustainable growth. On our success will hang the future of the European social model too. We do not believe we can achieve the goals Commissioner Diamantopoulou and I set ourselves so carefully, the goals behind all politics such as social equality and class promotion we do not believe we can do it without a knowledge-based society. It will also, therefore, determine our ability to honour the international commitments we made at Monterrey, Doha and Johannesburg and to implement policies which can secure peace and stability in the world. This coming year will in many respects be equally crucial. In 2003, we will have to prepare to implement enlargement and we will have to carry out the institutional reforms. Above all, we must provide the new Europe with much more solid economic and social foundations. Mr President, Prime Minister, time and time again, the European Union has confounded the most sceptical critics with bold, resolute initiatives. We have achieved many goals and I know that we will continue to do so in the future, but I implore you to understand that this matter of centres of scientific excellence, of a research effort, of rules to attract laboratories, the centres of innovation, to Europe, of becoming once again the catalyst and centre of culture and science, as Europe has always been throughout the centuries, is vital for our future. Quite frankly, the present generations have fewer opportunities, fewer options than most of us sitting here had. I believe it is our duty to restore to them these options, these opportunities, for they are entitled to them and we need them too. Prime Minister, in setting its priorities for the first six months of the year, the Greek Presidency has shown that it is keenly aware of the major challenges before us. This was clear throughout your speech. There is absolutely no need for me to go over the main points again – we fully endorse them: the intense focus on immigration, patents, energy and the major obstacles to lasting peace in Europe – the Balkans question and the Mediterranean question. I want to focus closely on these last two issues because the Balkans are a European Union issue – they are our responsibility and in our hearts – and, in the situation described by Prime Minister Simitis, whether the future holds peace or war depends on the Mediterranean. I also endorse the far-reaching decision by the Greek Presidency to choose peace: I endorse it and I call for unified peacekeeping measures from the countries and the European institutions. Before us is a unique opportunity, a huge presence of European countries in the Security Council, a European Presidency, and, most importantly, we have a public opinion which is deeply disturbed and concerned to see what war might involve and, in particular, what the consequences of war might be. The European governments may have had their disagreements and different perspectives in recent months, but their citizens are closely united in the desire to avoid war as far as possible. Of course, this does not mean that they do not have an equally strong desire to combat terrorism, to present a united front before this new threat. However, war is considered to be the last resort and our peacekeeping measures must therefore be strong and unified. We therefore feel that we are in complete harmony with the Greek Presidency and its programme for Europe, both as regards its intention to develop the work that needs to be done within the institutions on matters such as the Members’ Statute and the issue of rules on parties and as regards the two major themes which were at the heart of Prime Minister Simitis’ speech, enlargement and unification: we want a wider Europe but we also want a more unified Europe. There can be no objection to that and there is no need for clarification. I would now like to mention briefly the fact, following on from what Prime Minister Simitis said, that the Spring Report, the Commission’s contribution to the work of the Spring Council, was adopted by the institution today and will therefore play a major part in the work of the Greek Presidency. We also adopted a number of related documents, most noteworthy being the report on the implementation of the broad economic policy guidelines and the general principles of a new European Employment Strategy. I would like to thank the Greek Commissioner, Mrs Diamantopoulou, wholeheartedly, for she really has done some absolutely first rate work in this area. I would now like to tell you a little more about the key points of the Spring Report, although the Commission is, as always, at Parliament’s disposal should it want to organise specific debates on these important issues. The Spring Report is a general report which does not just outline our programme but enters into specific aspects of it. The Lisbon strategy seeks to achieve far-reaching economic and social renewal by the end of the decade and will be the right course for an enlarged European Union too. That means – and we must not forget it – that it does not lose any of its value with enlargement but actually becomes more important. It is the best way of delivering what concerns our citizens most – greater prosperity, better jobs, greater social cohesion and a cleaner, sustainable environment – and it is the only way of making sure that these are achieved sustainably for future generations too. The Spring European Council must drive forward this process in the face of the two-fold challenge of enlargement and, in particular – and this is the real problem – the continuing deterioration of economic conditions. We must not be discouraged by these challenges. Quite the opposite: they must spur us on to greater endeavours, for the Lisbon agenda is the best way to integrate the new Member States and boost the economy. The Lisbon process is already starting to bear fruit. In many areas, reforms are already generating growth and jobs but, and I tell you this frankly, ladies and gentlemen, much of the European Union’s production potential continues to remain untapped. The Lisbon objectives are still within our reach, but if we do not display much greater political will from this moment onwards there is no firm guarantee that we will succeed."@en1
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