In total, nearly a quarter of 18 to 24 yearolds in Italy and 19% in France are NEETS (Not in Employment, Education or Training) – well above the OECD average of 14%. Therefore, we have no greater priority today than developing skills, apprenticeships and professional training. As well as this need for the right reforms in our two countries, the decentralisation of the euro area has another consequence: we need a more symmetrical adjustment, with wage increases and fiscal stimulus in those countries that have the room to manoeuvre, such as Germany and the Netherlands. Fortunately, this process has already begun, with the fiscal plans set out by the coalition governments elected in 2017, and the pick-up in wage growth as these countries get nearer to full employment. The excessive external surpluses in the euro area are also a sign of poor resource allocation. The Macroeconomic Imbalance Procedure carried out by the European Commission must therefore be symmetrical. 3/5  BIS central bankers' speeches  II. To construct a more solidarity-based euro area, we need an Italy that is committed. At the same time, the euro area also needs to be improved: although Monetary Union is a success, the weaknesses of the Economic Union continue to pose a problem. We need to find a “tightrope” that combines responsibility and solidarity. Since Meseberg last June, France and Germany have put forward some initial proposals.
François Villeroy de Galhau: What are the economic prospects for the euro area? Speech by Mr François Villeroy de Galhau, Governor of the Bank of France, at the Conference at LUISS University, Rome, 29 November 2018. * * * Ladies and Gentlemen, I am delighted to be here with you this evening at LUISS University, in the magnificent ballroom of the Villa Blanc, and I would like to extend by warmest thanks to Vice President Paola Severino. LUISS University is renowned for the high standard of its teaching and one of your illustrious former presidents, Guido Carli, who gave his name to your university, was also a signatory to the Maastricht Treaty in 1992. I am here to speak to you today as a friend of Italy, a country which I hold very dear. For several years in my professional career, I made monthly visits to Rome and had the pleasure of learning your language. I am pleased to see my friend Governor Ignazio Visco here, as he is also my closest neighbour in Frankfurt: we sit next to each other on the Governing Council. I am also here as a committed European, one who is familiar both with Germany and Belgium. This commitment is also shared by Sylvie Goulard, who is here today in her capacity as Deputy Governor of the Banque de France.