Overview
Following the release of the European Semester Spring Package in May, the European Commission shares its contents with other EU institutions and Member States. A key component of this package are the draft Country-specific recommendations (CSRs), which offer tailored guidance to each Member State regarding economic, employment and fiscal policies to be implemented.
From July on, after approval from the Council of the European Union, Member States incorporate the final CSRs into their national policies and budgetary plans for the upcoming year. This implementation phase, referred to as the ‘national semester’, extends until October. Euro area Member States must then submit their draft budgets to the Commission for review.
The implementation of CSRs can be monitored through a specialised database, which records all recommendations that have been adopted since 2011. The Commission’s assessment of the progress made during the implementation phase serves as the foundation for the next European Semester cycle.
Timeline
- JuneThe Council discusses the Country-specific recommendations
In June, the Council discusses the draft Country-specific recommendations (CSRs), considers amendments, and reaches consensus on a final version. When recommendations deviate from the original Commission proposal, the Council provides explanatory details. Subsequently, the CSRs are submitted to the European Council which formally endorses them.
- JulyAdoption of the final Country-specific recommendations
In July, the Council officially adopts the final CSRs.
- July-OctoberMember States implement guidance during the 'national semester'
From July onward, EU Member States start the implementation of CSRs through concrete policy measures and reforms. The fiscal recommendations are translated into the draft budgets for the upcoming year.
The Commission closely monitors Member States’ progress in implementing the CSRs, and evaluates the impact of the measures. Additionally, it engages in dialogues with relevant stakeholders. Based on this feedback, the Commission prepares the Annual Growth Survey which serves as the foundation for new policy recommendations in the following European Semester cycle.
By mid-October, eurozone Member States are required to submit their draft budgets for the following year to the Commission and the Eurogroup. The Commission assesses their compliance with the CSRs, the agreed net expenditure path and the requirements of the Stability and Growth Pact. This marks the end of the European semester cycle.
Next steps
The publication of the Autumn Package in November marks the start of a new European Semester cycle. The content of the package is informed by the Commission’s evaluation of Member States’ efforts during the national semester.
It should be noted that the CSRs from the completed European Semester cycle remain relevant. Draft budgets that do not align with past CSRs are addressed in the Opinions on the Draft budgetary Plans within the Autumn Package.
The Member States adopt their new national budgets at the end of the year.