European Commission President Jean-Claude Juncker presented his investment plan on Wednesday, saying it marked a turning point for the European Union after years of painful austerity. "Europe is turning the page after years of efforts to promote fiscal credibility and reforms," Juncker told the European Parliament. He said the plan was necessary as EU investment levels had fallen by 370 billion euros below their level before the start of the global economic crisis in 2008. Juncker said his plan would mobilise 315 billion euros because "every euro invested will generate 15". He added that the three-year plan should be operative by June 2015 and that, if it is successful, it will be renewed in 2018. Juncker also said that the spending EU member States make to support his investment plan will be outside budget calculations, if it makes those States cross the thresholds allowed by EU rules. "The States' contributions will be outside deficit and debt (calculations)," Juncker told the European Parliament.
Italian Economy Minister Pier Carlo Padoan praised the plan on Wednesday, saying a "shock" was needed to launch growth.
"A shock for growth is possible and necessary," Padoan told the European Parliament on behalf of the Italian duty presidency of the EU. Italy has been leading calls for the EU to focus on promoting growth and combatting unemployment. Padoan said the plan was "opportune" as there was a "serious risk of a movement towards stagnation".
He added: "the Juncker plan is the first step towards a turning point in favour of growth and labour".
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