Iceland’s Ministry of Economic Affairs sent its first Pre-Accession
Economic Programme (PEP) to the EU, according to the Ministry of Economic
Affairs web site.
The PEP report, which details Iceland’s economic policy until 2013, is part of the EU application process and a similar report will be delivered yearly while the application is pending, mbl.is reports.
The EU Commission will now send the report to the Member States for discussion, after which it will be put before the Economic and Financial Committee, and finally to the European Council of Ministers, according to mbl.is.
As part of its “Overall Policy Framework,” the report states, “The Pre-Accession Economic Programme (PEP) is prepared on the basis of the government’s medium-term fiscal programme, the 20/20 strategy adopted by the government in January 2011 and policy commitments related to Iceland’s cooperation with the International Monetary Fund (IMF). […] The 2011 budget foresees a return to a primary surplus when certain profitable investment projects, which will be financed through user fees, are excluded. The overarching objective of fiscal policy is to return general government back to an overall surplus by 2013 as was prescribed in the government’s medium-term fiscal programme presented to parliament in mid-2009.”
Read the 107 page report.