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Merkel Pledges To Reduce EU Bureaucracy

by Ulrika Lomas, for LawAndTax-News.com, Brussels

27 January 2006

Speaking at the opening of the World Economic Forum's annual meeting in Davos this week, German Chancellor, Angela Merkel called for "international rules to frame global competition".

Suggesting that increased cooperation between countries, with the oversight of international bodies such as the World Trade Organisation and the International Monetary Fund would help to foster innovation, Ms Merkel stated that such a drive could - paradoxically - go hand-in-hand with a reduction in bureaucracy, particularly in the European Union.

Stating that:

"We must get away from the idea that a directive is in place for all time and can never be reconsidered," the German Chancellor announced that during Germany's term at the head of the EU next year, there will be a clamp-down on red tape, with obsolete legislation removed and expiry dates included in new legislation.

"Between 4 and 6 percent of all costs for small and mid-size companies in Germany goes into red tape," she went on to reveal, adding that: "We must learn to measure the cost of bureaucracy."

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