NEWS

Prime Minister's press conference held after the Government's 171st regular session

At the press conference following the Government's 171st regular session, the Prime Minister of the Republic of Slovenia, Borut Pahor, spoke about the fiscal treaty agreed by the leaders of 25 EU Member States at the European Council meeting. Mr Pahor said that the treaty should be taken very seriously and, following its signature, should be ratified and enforced. An important factor in this process will be the time taken for its enforcement. If this is missed, Slovenia would only be able to adapt to changes. Mr Pahor recalled the rejection of the pension reform in June last year. As a result of this rejection, Slovenia failed in its obligation to catch the wave of change occurring in Europe and elsewhere in the world. "By announcing a referendum on pension reform, Slovenia has lost a lot of time and must now make up for it fast," noted Mr Pahor. He continued: "Time is an important factor in the EU's economic and political crises and that is why the EU is adopting important acts faster now than ever before." When the new government assumes full powers, Slovenia will get a chance to make up for the time it has lost from the announcement of the referendum on pension reform in January 2011.

   

The aim of the Treaty on Stability, Coordination and Governance in the Economic and Monetary Union is to provide for the long-term strengthening of budgetary discipline. It introduces the requirement for national fiscal rules, the immediate closer coordination of economic policies and an agreement on stronger governance in the eurozone, explained Mr Pahor. He emphasised that the treaty leaves open the question of rules for initiating proceedings before the Court of Justice of the European Union. The leaders are to agree on this by the time the treaty is signed. In accordance with the treaty, Slovenia will be required to bring in the European stabilisation mechanism by June and fulfil the obligations from the Euro Plus Pact and the Stability Pact. "There is a whole range of necessary reforms the previous government was unable to put in place after the fundamental reform – the pension reform – was rejected," said Mr Pahor. He is still convinced that pension reform is the essential condition for a reform package that would provide a good reference for Slovenia.