The European Parliament's Committee on Economic and Monetary Affairs held a Monetary Dialogue with ECB President Christine Lagarde, an exchange of views with ESM Managing Director Pierre Gramegna, and a debate on the 2027 EU budget on 22 June 2026. Lagarde defended the ECB's rate path, citing progress on inflation but cautioning on wage dynamics. EPP's Markus Ferber pushed back on the pace of easing, warning against premature cuts, while S&D's Jonás Fernández called for more accommodative policy to support growth.
Greens-EFA's Rasmus Andresen questioned the impact on green investment. Gramegna presented the ESM's revised lending toolkit, with ECR's Johan Van Overtveldt questioning the facility's conditionality. On the budget, Budget Commissioner Piotr Serafin outlined priorities for 2027, including defence and competitiveness. Renew's Valérie Hayer called for more own resources, while The Left's Manon Aubry criticised cuts to social spending. The committee will vote on its budget amendments in September. The debate exposed a split between those prioritising inflation control (EPP) and those favouring growth support (S&D, Greens), with implications for financial markets and EU programme beneficiaries.
The ESM toolkit revision and budget priorities also highlighted tensions between fiscal discipline and social spending, affecting member states and EU programme recipients.