European Commission Executive Vice President Valdis Dombrovskis said that the bloc needs to work harder to create a capital markets union in order to diversify companies' funding sources. He noted that the EU's debt will increase at the end of the year because of the coronavirus pandemic and that the economy will shrink around 7.4% according to commission estimates. However, Dombrovskis hopes that joint action from member states can bring the 2021 gross domestic product of the EU to 6%.
He warned that containing the COVID-19 pandemic in the second half of the year will have an immense impact on future growth and stressed that supporting workers and companies "both at a national and EU level" remains crucial.
Dombrovskis also said in a tweet: "Each EU country’s economic recovery will vary due to many different factors. As we emerge from #coronavirus impact, we need to avoid major disparities taking root in the single market. That's not good for any country: we should agree on a strong and coordinated EU recovery plan."
