Date of release : 07-02-2005

Policy area : General Affairs and External Relations

The Prime Minister and current President of the European Council, Jean-Claude Juncker, met Jacques Chirac, the French President, in Paris on Monday, 7 February 2005.

The meeting revolved principally around the main dossiers of the Luxembourg Presidency of the Council of the European Union. Dossiers on the current international situation were also touched on, such as the visit of President Bush to the European Union institutions and NATO in Brussels on 22 February.

President Chirac and Prime Minister Juncker confirmed widespread agreement on the main dossiers of the Luxembourg Presidency, mainly regarding the emphasis to be placed on reflating the European economy. They pointed out that the social and environmental aspects of the Lisbon Process would not be overlooked when refocusing the strategy to be adopted at the European Council of 22 and 23 March 2005.

The two leaders also underlined the importance of sending out a clear signal to European youth within the framework of the mid-term review of the Lisbon Strategy. To this end, the Luxembourg Presidency will propose that the March European Council adopts a youth pact.

Jean-Claude Juncker and Jacques Chirac agreed that the national "Lisbon" action plans would be the most effective method of implementing and following up the mid-term review of the Lisbon Strategy. A tri-annual assessment of national plans and major strategy lines should also be considered.

Regarding financial perspectives for the period 2007 to 2013, Jean-Claude Juncker and Jacques Chirac share the view that a political agreement is required under the Luxembourg Presidency so that legislative acts and programmes to be financed within the future financial framework are ready for 1 January 2007.

With regard to examining the Stability and Growth Pact, the two leaders agree that strengthening the preventative aspect of the pact is a priority. For Jean-Claude Juncker "it must be made clear that Member States have to use periods of economic growth to consistently reduce their deficit and public debt" so as to have at their disposal "margins for manoeuvre" during periods of economic slump.

The two leaders also agree that the excessive deficit procedure should be implemented as soon as a country exceeds the 3% deficit mark, but that a shortlist of expenditure must be established to enable the Council to appreciate the causes of this deficit in an economically intelligent manner.

President Chirac invited the Luxembourg Prime Minister to participate as a speaker in several events organised as part of the "European Culture" festival to be held in Paris on 2 and 3 May 2005.