The EU needs a stronger financial supervisory architecture with a single financial supervisory authority, said Parliament in a resolution on the Pittsburgh G20 summit. MEPs also stressed the need for long-term fiscal sustainability, so as to avoid imposing too heavy a burden on future generations. But the priorities now must be to create jobs and protect people from the impact of the crisis.

In the resolution, adopted by a show of hands, Parliament welcomes the last G20 summit conclusions. This summit was held in Pittsburg, USA, on October 24th-25th.  This conclusions include the commitment to avoid any premature withdrawal of support measures used to stabilise financial markets. The work on exit strategies must start now, so as to implement them as soon as the recovery permits, says the resolution.

MEPs believe a more centralised approach to financial market supervision is needed to prevent further crises. "The EU needs to work towards a stronger financial supervisory architecture with a single financial supervisory authority as an objective," says the resolution.

To prevent financial crises in future, their underlying causes (including excessive trade deficits or surpluses) must be addressed, says Parliament. An effective multilateral response to the crisis must also address the causes of exchange-rate imbalances and commodity price volatility within multilateral frameworks.

The immediate priorities must be "to secure strong and sustainable growth of the real economy, to ensure that the capital markets and lending function properly, to sustain and promote employment, and to protect people from the adverse impact of the crisis, paying special attention to the poorest and most vulnerable", argues Parliament.

The resolution also stresses the need to support social dialogue at all levels so as to avoid wage deflation and ensure that wage growth is in line with productivity growth.

Parliament calls on the Commission rapidly to turn the commitments given at the G20 Summit on bonuses into EU legislation.  MEPs welcome progress on bank secrecy and call for an effective system to prevent, detect and pursue tax evaders. Achievements in fighting tax havens have been substantial, but are not yet sufficient, they add.

Parliament restated its opposition to any form of protectionism and called for progress in ensuring market access that does not disadvantage developing countries. Finally, the resolution regretted that no progress had been made in funding the global fight against climate change.