Local view for "http://purl.org/linkedpolitics/eu/plenary/2010-10-20-Speech-3-045"
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"en.20101020.3.3-045"2
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"Mr President, the combined topics of this morning’s debate have a strong common theme of our continued response to the financial crisis and to finding ways to make our management of the risk more effective, whether it be risk management of public debt, risk management of our financial markets and products, or the risk management of global imbalances. Whether it is the behaviour of our banks or the behaviour of Member States’ treasury departments, we need to ensure a common high standard of behaviour with respect to adhering to an agreed set of rules.
Stronger financial and fiscal discipline by both the private and public sectors needs to be enforced. We need to ensure that, in the search for growth opportunities by the EU, the financing tools used by the EU and the individual Member States are of the highest calibre and as transparent as possible. The use of innovative financing needs to be approached with caution, and the moves by the EU to leverage its own budget need to be taken into account, knowing all the risks and the potential for moral hazard.
The European Financial Stabilisation Fund is a large off-balance sheet vehicle reliant on a credit rating. To leverage the EU budget in the issuance of project bonds by the EIB needs to be subject to intense scrutiny. As we all know, complex financial instruments and leverage bring their own risk. There is no free money and there are no short cuts."@en1
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