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Policy Departments' Monthly Highlights - November 2018

12-11-2018

The Monthly Highlights publication provides an overview, at a glance, of the on-going work of the policy departments, including a selection of the latest and forthcoming publications, and a list of future events.

The Monthly Highlights publication provides an overview, at a glance, of the on-going work of the policy departments, including a selection of the latest and forthcoming publications, and a list of future events.

A new era in EU-China relations: more wide-ranging strategic cooperation?

19-07-2018

China is an important strategic partner for the EU, despite fundamental divergences in some areas, mostly related to state intervention and fundamental human rights. The partnership offers mutually beneficial cooperation and dialogue in areas ranging from investment and transport to human rights and cybersecurity. China is navigating in new directions, guided by Xi Jinping's 'Thought on Socialism with Chinese Characteristics for a New Era’. Despite President Xi’s repeated avowals that 'the market ...

China is an important strategic partner for the EU, despite fundamental divergences in some areas, mostly related to state intervention and fundamental human rights. The partnership offers mutually beneficial cooperation and dialogue in areas ranging from investment and transport to human rights and cybersecurity. China is navigating in new directions, guided by Xi Jinping's 'Thought on Socialism with Chinese Characteristics for a New Era’. Despite President Xi’s repeated avowals that 'the market will have a decisive role', public ownership remains the mainstay of the Chinese economy, whereas profound reforms would be needed to tackle the root causes of overcapacity in various industrial sectors. Xi's ‘Belt and Road Initiative’, now also included in the Constitution, is the flagship international connectivity and infrastructure programme dominated by Chinese state-owned companies. Overall, China’s crucial, but complex transition towards more sustainable growth would eventually benefit both, China and the world as a whole. Global economic interdependence, however, makes certain spill-over effects of China’s rebalancing unavoidable. China plays a pivotal role in global governance and the rules-based international order, and this comes with responsibilities. Beijing has begun to shift away from the narrow pursuit of national aims towards a more assertive foreign and security policy, and increased financial, economic and security cooperation with a global outreach. China is also facing domestic concerns, such as lifting millions of people out of poverty and reducing ever-growing income inequalities, deterioration in the situation of human rights and freedoms as well as endemic corruption.

Transatlantické vzťahy: USA a Kanada

01-02-2018

EÚ, USA aj Kanada vyznávajú hodnoty demokracie, ľudských práv a hospodárskej a politickej slobody a rovnako sa prelínajú aj ich záujmy v oblasti zahraničnej politiky a bezpečnosti. Komplexná hospodárska a obchodná dohoda a dohoda o strategickom partnerstve medzi EÚ a Kanadou nadobudli platnosť v roku 2017. Rokovania o Transatlantickom obchodnom a investičnom partnerstve medzi EÚ a USA sa zastavili v roku 2017. S cieľom odstrániť priemyselné clá Rada prijala 15. apríla 2019 smernice na rokovania.

EÚ, USA aj Kanada vyznávajú hodnoty demokracie, ľudských práv a hospodárskej a politickej slobody a rovnako sa prelínajú aj ich záujmy v oblasti zahraničnej politiky a bezpečnosti. Komplexná hospodárska a obchodná dohoda a dohoda o strategickom partnerstve medzi EÚ a Kanadou nadobudli platnosť v roku 2017. Rokovania o Transatlantickom obchodnom a investičnom partnerstve medzi EÚ a USA sa zastavili v roku 2017. S cieľom odstrániť priemyselné clá Rada prijala 15. apríla 2019 smernice na rokovania.

The United States' role in Central Asia

22-11-2017

Geographically distant and without historical ties to the region, the USA has never been a major player in Central Asia. However, both sides stand to gain from closer ties: for the USA, Central Asian countries are key partners in meeting security challenges; for Central Asia, benefits could include increased investment and reduced dependence on Russia and China, the two main regional powers.

Geographically distant and without historical ties to the region, the USA has never been a major player in Central Asia. However, both sides stand to gain from closer ties: for the USA, Central Asian countries are key partners in meeting security challenges; for Central Asia, benefits could include increased investment and reduced dependence on Russia and China, the two main regional powers.

UK Withdrawal (‘Brexit’) and the Good Friday Agreement

22-11-2017

Upon request by the AFCO Committee, the Policy Department for Citizens’ Rights and Constitutional Affairs commissioned this study on UK withdrawal and the Good Friday Agreement (the ‘Agreement’). It provides an overview of the Agreement and an assessment of the potential challenges posed to its implementation by ‘Brexit’. In particular, it examines ways in which – through differentiation and ‘flexible and imaginative solutions’ – the Agreement can be upheld and the context for its effective implementation ...

Upon request by the AFCO Committee, the Policy Department for Citizens’ Rights and Constitutional Affairs commissioned this study on UK withdrawal and the Good Friday Agreement (the ‘Agreement’). It provides an overview of the Agreement and an assessment of the potential challenges posed to its implementation by ‘Brexit’. In particular, it examines ways in which – through differentiation and ‘flexible and imaginative solutions’ – the Agreement can be upheld and the context for its effective implementation maintained.

Harnessing globalisation for local and regional authorities: Challenges and possible solutions

29-09-2017

Globalisation has various positive and negative aspects. On the positive side, economic opportunities can emerge. Exports may flourish, companies may find new global customers, knowledge may be easily circulated, and trade may pick up, thus stimulating economic growth. Interaction through new technological instruments helps to interconnect people in different parts of the world. However, globalisation may also have disadvantages. For instance, various EU industries (e.g. coal, steel, iron, shipbuilding ...

Globalisation has various positive and negative aspects. On the positive side, economic opportunities can emerge. Exports may flourish, companies may find new global customers, knowledge may be easily circulated, and trade may pick up, thus stimulating economic growth. Interaction through new technological instruments helps to interconnect people in different parts of the world. However, globalisation may also have disadvantages. For instance, various EU industries (e.g. coal, steel, iron, shipbuilding, automotive and textiles) have been affected by global competition, and have had to downsize their activities. Cheap imports of non-EU manufacturing goods have led to the decline of various EU industrial sectors, but also to relocations, closures and redundancies. In addition, globalisation has an environmental, demographic, technological and cultural dimension. The impact of globalisation therefore affects the activities and development of regional and local entities within the EU. In order to address all these issues, the European Commission has presented a reflection paper on harnessing globalisation. This briefing addresses some of the most important challenges that globalisation brings to EU regions, and sets out ideas that may be useful in tackling these challenges. Harnessing globalisation requires a holistic approach. European, national and local synergies will have to be established to address the multi-layered challenges stemming from globalisation. Serious thinking will have to be done on how to empower local and regional authorities in order to address these challenges successfully.

International Agreements in Progress: Economic Partnership Agreement with the Southern African Development Community (SADC)

13-09-2017

In line with the objective of the Cotonou Agreement to establish a World Trade Organization-compatible trade regime with ACP countries, in 2002 the EU started negotiations on free trade agreements with different ACP regional configurations. One of these is the SADC EPA Group – of southern African countries, including South Africa. The negotiations were long but the final outcome is a compromise that has been accepted by all parties, with the exception of Angola which did not endorse the Economic ...

In line with the objective of the Cotonou Agreement to establish a World Trade Organization-compatible trade regime with ACP countries, in 2002 the EU started negotiations on free trade agreements with different ACP regional configurations. One of these is the SADC EPA Group – of southern African countries, including South Africa. The negotiations were long but the final outcome is a compromise that has been accepted by all parties, with the exception of Angola which did not endorse the Economic Partnership Agreement (EPA), but has an option to join in the future. The Agreement establishes an asymmetric free trade area, taking into account the disparities in the level of development between the EU and its African partners, which can shield sensitive products from EU competition. It emphasises sustainable development as an overarching objective, includes important safeguards in order to protect sensitive sectors from sudden surges in trade, and gives African countries the possibility to preserve their policy space in order to industrialise. The Agreement was signed in June 2016 and entered into provisional application on 10 October 2016, after being ratified by five of the six African countries and the European Parliament. It is now in the process of ratification by EU national parliaments. Second edition. The ‘International Agreements in Progress’ briefings are updated at key stages throughout the process, from initial discussions through to ratification. To view earlier editions of this briefing, please see: PE 586.661, 7 September 2016.

China's role in Central Asia

07-06-2017

Since 2013, China's growing trade and investment in Central Asia have been boosted by its ambitious 'One Belt, One Road' project. However, China only has limited security involvement and soft power in the region, and it is not challenging Russian supremacy there for the time being.

Since 2013, China's growing trade and investment in Central Asia have been boosted by its ambitious 'One Belt, One Road' project. However, China only has limited security involvement and soft power in the region, and it is not challenging Russian supremacy there for the time being.

The role of macro-prudential policies in prevention and correction of asset imbalances in the Euro Area

19-05-2017

In the aftermath of the financial crisis, there is consensus among academics and policy makers on the need for the so-called macroprudential policies. Additionally, the current low interest-rate environment creates further risks to financial stability. However, the implementation of such policies in a monetary union is a rather complex issue. Housing and credit markets heterogeneity across countries calls for action at national level. The role of the ECB in macroprudential policy is a matter of debate ...

In the aftermath of the financial crisis, there is consensus among academics and policy makers on the need for the so-called macroprudential policies. Additionally, the current low interest-rate environment creates further risks to financial stability. However, the implementation of such policies in a monetary union is a rather complex issue. Housing and credit markets heterogeneity across countries calls for action at national level. The role of the ECB in macroprudential policy is a matter of debate because monetary policy can conflict with the ultimate goal of macroprudential policy. This document reviews the key issues that are relevant for the implementation of macroprudential policies in the euro area and questions the current institutional framework. Finally, it gives some policy recommendations on how to improve the current situation.

Externý autor

Margarita Rubio

The role of macro-prudential policy in the prevention and correction of imbalances in the euro area

19-05-2017

The euro area suffers from economic and financial imbalances between its members. Macro-prudential policy can help remedy this in as much as it can be deployed both at euro area level and Member State level. A macro-prudential policy framework to regulate financial cycles at Member State level and improve the resilience of systemic groups at euro area level would improve the economic and financial stability of the euro area and each of its members. Drawing on an inventory of the current practices ...

The euro area suffers from economic and financial imbalances between its members. Macro-prudential policy can help remedy this in as much as it can be deployed both at euro area level and Member State level. A macro-prudential policy framework to regulate financial cycles at Member State level and improve the resilience of systemic groups at euro area level would improve the economic and financial stability of the euro area and each of its members. Drawing on an inventory of the current practices and the teachings of recent academic work, we have formulated 15 proposals which aim to identify effective macro-prudential instruments to achieve this stability and, in a context of institutional transformation (Banking Union, Brexit, etc.) likely to facilitate changes, to streamline the institutional framework.

Externý autor

Jézabel Couppey-Soubeyran, Salim Dehmej

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