As agreed in Berlin, taking advantage of the favourable cyclical conditions would enable most euro area countries to achieve their medium-term objectives in 2008 or 2009, and all of them should aim for 2010 at the latest. These pledges should be reflected in the 2008 budget plans so as to avoid repeating governments’ past failure to adjust fiscal balances in economic “good times”.
The Governing Council also welcomes the emphasis placed by the ECOFIN Council on measures to improve the quality and efficiency of public finances. 2  BIS Review 80/2007  Economic differentials in the euro area and structural policies Turning to structural policies, the draft resolution adopted by the ECON Committee refers several times to economic divergences in the euro area.