I think my job as moderator today is to -

with the help of four fellow revolutionaries

I hope on this podium, blow any holes

that might still be in the complacency of Europe’s...

and we really want to be as challenging as possible

about what in the light of the events of the last few days here in Europe,

what is working and what is isn’t and what are the really tough challenges,

Europe needs to face to get back to growth.

And in that sense I want to see if we can start picking up

some of the themes I’ve heard uttered by many of you in the

home sessions and corridors.

Where you don’t buy the idea that Europe will just weather this crisis.

It was like a bad cold and business will be back to how it was before.

I think many of you have been saying this was a pretty major

thing and it’s brought long term consequences

and I want to try and get at some of that in this closing plenary.

We’ve got just the right people to help us do it.

From the left, if I can - or from my right rather, your left,

if I can introduce Bozidar Djelic, the Deputy Prime Minister

for European integration and Minister of Science and Technological

Development of Serbia and a young global leader -

Six more months.

Six more months.

For six more months, yes.

So still a youth voice for six more months.

Let me explain I’ll move from young global leader to middle-

aged in one day so that’s okay.

Valdis Dombrovskis, the Prime Minister of Latvia;

Dalia Grybauskaite, the President of Lithuania,

Vincent Van Quickenborne, the Minister of Economy and

Reform of Belgium.

So we’ve got four leaders and I'm going to, if I may,

Madame President, start with you and I'm going to throw a tough one

at you which I'm going to repeat to several others on the panel

which was you’ve worked very hard for Lithuania to

get into Europe.

Given the events of the last few days where after all

what was the prize you were seeking, stability, growth, reform,

those were supposed to be the rewards of getting into Europe?

Was the journey worth it?

Looking today, did you get what you expected?

I think we got everything we expected and more.

In addition, of course the journey was long, about 10 years,

for us and in our region we did a huge amount of reforms,

democraticize our society, and practically introduce market economy.

But of course it was a fast, very rapid, robust,

and socially tense period. It cost a lot.

And we thought that after we joined the European Union

at least the hardest work will be done but it looks that

everyday new challenges are falling on us and the road

towards membership was worth mainly because we were capable

to reform ourselves as much as we would like and as deeply

as it was necessary.

And this experience of reforming fast, taking challenges,

openness, and courage to talk with people openly what is

necessary to do, helping already now than all of us in our region

started to feel global problems and failures already by

the end of 2008.

And having that in mind and having this experience of

managing ourselves, already in 2009 we took initiatives and adjusted

our economy and reduced our spending through all our economy

including real salaries, real pensions, real pays in

social benefits by 4% of GDP in one year.

And of course our economy is very small, of course we are a

very open society and economy, of course we depend very much

on external markets but still taking into account global pressures,

national governments and national politicians

with their clear responsibility

can still manage a lot inside the country if decisions are at least

reduced from a political populace.

This is not easy, any government pays the price.

My neighbor paid for free government,

I think, for that, we’re still not paying

for free governments but we’re already losing and our government is

losing credibility because of difficult measures but necessary measures.

So from outside we look as country which is capable to manage,

inside people are angry but that probably is an objective reason

how it is happening.

Why I'm saying that the road towards membership was perfect

school which helped us to manage today’s situation where

we understood that we can rely first on ourselves, only then

second on the European Union and that is an experience which

is very useful still.

Well that’s of course fascinating but not the answer one might have

expected a year or so ago because basically you're arguing the journey

to join Europe was what sort of gave you the training

and hardened you and gave you the political capacity to take difficult

and unpopular decisions but Europe itself is not the prize that’s worth it,

it was the journey that gave you these strengths and capabilities.

Yes and no, our journey was important but also if to take

the messages now that for example during the huge downturn and fall,

today annually the assistance from the European funds, for example,

practically amounts to 25% of annual our budget, that’s significant assistance.

Clearly you cannot deny it.

Yeah. Thank you.

Prime Minister, you have been - and Latvia have been very,

very anxious about joining the Euro.

Does that look quite such a good idea as it did a few months ago?

Well certainly, our plans as regards Euro has not changed,

we still intend to meet most of the criteria in 2012 which means that

we could join Euro in January 1st, 2014 given that the current rules are held.

So there are two worries as regards Eurozone,

the first part is the credibility of the Eurozone itself where

I think it’s a good news that yesterday there was this rescue

package for Greece and also proposed to guarantee mechanisms

to address the crisis in better manner.

In another front, what is really needed is control mechanisms within Eurozone

to make sure that countries in Eurozone have to follow most of the criteria.

There was such a control mechanism, sanctions mechanism in our stability

and growth but it was scrapped in 2003.

Not apparently the time has come to re-introduce this control mechanism.

Second is what we hear and what worries us somewhat is the debate

that there should be some postponement of the Eurozone enlargement

or amending of the criteria so that countries could not enter

and I think it’s quite a misguided debate because the problem of the

Eurozone is not new countries because there it’s quite clear,

you either meet most of the criteria or you are not allowed in.

The problem is lack of control mechanisms within Eurozone and the fact that

most of the Eurozone countries do not follow most of the criteria.

So really we hope this debate will not move into not allowing

Eurozone enlargement and... will come pretty soon with

the case of Estonia it’s a matter of coming weeks and months.

I Both of you made this dramatic adjustments to restore your public

finances and yet you didn’t sort of stop the Euro in the way that the Greece crisis has

and yet you may be penalized because you may not be allowed into the Euro.

Do you feel it’s a double standard?

Well this we will see pretty soon.

And I think the real test is in Estonia which had the 15% recession last year

and yet 1.7% of GDP budget deficit.

So they clearly met most of the criteria, they're physically one of the most prudent

countries and there we will see if Eurozone is willing to stick

to its own rules or it will invent new rules not to allow Estonia in.

And of course it will come of how implications for Latvia and...

also Lithuania in the sense that if there is a credibility that Eurozone

enlargement is an open process, it’s also incentive and possibility

for us to explain to the people that measures we do are needed.

We will join Eurozone in due time.

Whereas if this will not be the case then it will become also more difficult

to explain why, for example,

we need to make most of the criteria in 2012.

Why a budget deficit of 3% and not 3.5%?

Djelic, you - I mean Serbia has really this issue of accession

and has been a driving dynamic of your country’s politics

for quite a few years now to meet Europe’s demands if you like.

Do you sort of look now and wonder whether the price

is going to be worth it?

Well for sure the enlargement is going to become more demanding,

the criteria for countries to join Europe and to join the Eurozone

are going to be tougher but at the same time that’s not necessarily

a bad thing as long as there is a win-win solution.

Europe has still its soft power aspect and definitely for the Western Balkans

history never stops.

Either we have the European agenda or if we don’t, then you will probably

have another agenda.

So that’s why it’s always an important thing to keep this European integration

process going.

I was last week in Berlin and I was testifying in front of the Bundestag

the day when the Greek package was being voted.

And of course in opening... to the members of parliament

"Ladies and gentlemen, just what you wanted,

another Balkan country. Here we are."

And yet - then I told them that we froze wages and pensions

in October of 2008, having done a precautionary program with the

IMF and the EU in 2007, that our total debt to GDP is 32% of GDP,

that we’re the only country upgraded by the OACD last year,

and that the capital...

ratio of our banks, 80% of them Euro- based of