Local view for "http://purl.org/linkedpolitics/eu/plenary/2004-10-26-Speech-2-172"
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"en.20041026.12.2-172"2
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"Mr President, ladies and gentlemen, we are talking about dividing up the cake but less has been said about how the size of the cake was arrived at. It is worth remembering that approximately 90% of the budgetary resources comes from the base of gross national income and from resources derived from income from Value Added Tax, and that these resources are closely related to the pace of economic growth.
Yesterday the President of the European Central Bank, Jean-Claude Trichet, stated that 2003 was accompanied by sluggish growth of just 0.5% of GDP. He also stated that, at present, the world economy is recording its strongest growth in the last 30 years, and that the European Union should be exploiting this positive global environment.
The draft budget plan totally fails to respond to these realities, however. In 2004, a provisional growth of 7.9% in the amounts of commitments paid is expected in relation to 2003. This is based on the latest figures, taking into account trends in July or August. In comparison with this, and in spite of the advised favourable growth environment, the draft European Union budget allows for an increase of just 5.4% compared to 2003, which means that the year on year growth in funds paid out should be 30% lower than in 2004. Moreover, unlike the budget for 2004, the EU budget for 2005 now has to reflect a full year’s membership of the ten new Member States. From this point of view, the starting-point parameters as set by the Council and in principle accepted by the Commission are, from the developmental point of view, both cosy and restrictive, and will present considerable problems in the implementation of the basic structural, regional and solidarity policies of the EU. Thank you."@en1
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