Press conference by President of the Government, President of the French Republic, Prime Minister of Portugal and President of European Commission

Moncloa Palace, Madrid

President of the Government.- Good afternoon to you all, Mr President of the French Republic, Mr Prime Minister of the Portuguese Republic, Mr President of the European Commission, Mr President of the European Investment Bank, ladies and gentlemen, dear friends,

First of all I would like to express my gratitude to all of you for being here today in Madrid. What we have done here today is very important for all those present and very important for Europe.

The commitments we have agreed to in the Madrid Declaration we have just signed a few minutes ago are very important for the future; they are for our companies because they will allow them to gain access to a fundamental resource for their competitiveness at lower and more foreseeable costs; they are for the environment because they will allow us to develop renewable energies; they are for the security of our continent because they will facilitate the diversification of energy sources and will reduce the dependency of supply on unstable regions of the world; but, above all, they are for our citizens, because energy can reach their homes at a lower cost, thus improving their well-being.

A few months ago the Prime Minister of Portugal, Pedro Passos, proposed the idea to me of holding this meeting with the fundamental aim of implementing a plan; an ambitious but realistic plan that is financially viable, with specific projects and commitments, a plan with the key objective of the Iberian Peninsula leaving behind its status as an energy island and working towards the creation of the European Energy Market.

This was a very good idea; then, at the European Council meeting in October, those of us present here had a conversation in relation to this issue and we agreed to call a meeting which was to be held, as indeed it has been, here in Madrid today.
Too many years have passed since the European Council in Barcelona in 2002 set the target of 10% of interconnections between Member States of the European Union, during which time progress has been made at a very slow pace. We have made progress, it's true, as shown by the very high-voltage line between Spain and France that the French Prime Minister, Manuel Valls, and I inaugurated on 20 February; a line that doubles the electricity interconnection capacity between the Iberian Peninsula and France, which is significant. But even with that, the interconnection will only stand at around 3%.

That is why we all wanted to prepare well for this summit. We have worked hard, and I cannot help but say well, to get this far; the network operators, technical staff, the ministerial departments responsible for energy, the technical staff and personnel from the European Commission, with the support and drive of Commissioner Miguel Arias and President Juncker, the European Investment Bank, and its President, Werner Hoyer, who I would give special thanks to for having also come here to Madrid today.

So, today we are implementing a plan. We have called it the Madrid Declaration, but it is a plan. Henceforth, we will move on from declarations to hard facts. As I said the other day in France, we are finally moving from words to actions. Three great nations, three of the oldest nations in Europe: Spain, France and Portugal, together with the EU institutions represented by the European Commission and the European Investment Bank, are taking a very important step forward to transcending boundaries.

This is a sign of the times and of our common project of European integration: to unite, integrate and connect. We have done away with the artificial borders between us and we now want to do away with the natural borders. Technology allows us to do that; but the most important aspect is political determination, the only attribute capable of overcoming technical and bureaucratic obstacles. And today we have expressed the maximum level of political determination in setting this project in motion, together with the mechanisms and resources necessary to achieve this.

Too many years, and perhaps even decades have undoubtedly gone by. The Iberian Peninsula has never taken such a qualitative step forward as today. The previous Governments of Spain worked hard and worked well in this direction, but I would like to say that it has only been now, together with the Government of President Hollande that we have been able to successfully align a vision of the Iberian Peninsula with the French and European vision. It can now be said that we can devote ourselves to the future, to implementing projects such as the one for which we are gathered here today to implement with the plan devised by Jean Claude Juncker, which bears his name, the 'Juncker Investment Plan'', to drive investment in European projects and infrastructure and to facilitate credit to small- and medium-sized enterprises; a plan in which energy interconnection projects such as those we have tackled today fit perfectly; a plan to which Spain, through the Official Credit Institute (Spanish acronym: ICO), will contribute 1.5 billion euros.

The issue here, in short, is to work towards implementing projects that allow us to ensure a long period of growth and job creation. This is the only way that we will be able to guarantee the great conquest of Europe - the Welfare State - for both present and future generations.

Mr. Hollande.- Ladies and gentlemen, I would firstly like to thank the President of the Spanish Government for having taken this initiative to hold this meeting. The idea originated from the Portuguese Prime Minister, Pedro, who, on the sidelines of the European Council, told us that he wished to hold a meeting between France, Spain and Portugal, with the European Commission and the European Investment Bank, so that we could assume responsibilities in relation to interconnections.

This meeting takes place prior to a European Council that will deal with our common energy policy and also prior to the Climate Conference, because what we need to do is, on the one hand, shape this energy union, of which interconnections form an integral part while, on the other hand, preparing for the Climate Conference that will be held in Paris.

We can also set ourselves other objectives; in particular, the security and diversification of our supply; allowing Europe to bring gas or transport electricity from various sources of supply. There is also a geo-political interest that no-one is ignoring and that is where our will lies. There is also an aim to increase the competitiveness of our industrial companies, because having energy available at a lower cost while, at the same time developing renewable energies, is something important for growth and competitiveness.

What have we just adopted today? A plan to develop interconnections and we, the French, Spanish and Portuguese peoples, have already made significant progress since, in terms of electricity interconnections, the Baixas line was inaugurated last month which has resulted in the rollout of significant technical resources for electricity interconnections. The next stage may be the Bay of Biscay or the Pyrenees, but also with an ecological vision, in other words, with environmental conservation in mind, so that these works can be developed without prejudicing the environment; quite the contrary, they will actually include all the progress and innovations possible.

As regards gas interconnections, I simply want to mention the following figure: compared with 2009, the situation today is that gas interconnections have tripled between Spain and France. And today, we have re-launched the MITCAT project, in other words the connections between Catalonia and the South of France, and we are going to start the studies necessary to see how we can move on to the second phase.

So, in order for the States involved to achieve this, we must take on certain responsibilities; but it is also important for Europe to mobilise financing. This is the reason behind the European Commission's presence here, and its president, who has launched a plan that bears his name. Sometimes, it may be very negative for a plan to be named after you, but sometimes, in contrast, it may truly work in your favour. It is the name of Jean Claude Juncker that is indeed associated with this plan which will help investment to be supported and contribute financing. I believe that for Europe, this is an eagerly awaited message.

But this plan must include specifics and that is what we have done today through a series of projects that we have presented to the European Commission. The European Investment Bank is also represented here, through its president, and what we wish to see is the mobilisation of private financing on a long-term basis. And that is the reason behind the presence of the European Investment Bank.

That is why I consider what we have just done to be good news for long-term growth; it is also good news for helping maintain our commitments on the issue of reducing greenhouse gas emissions, and hence, for preparing for the Climate Conference, and it is also good news for Europe, because it is the Energy Union that is taking off here today, which should be further extended at the next European Council.

As you are aware, there are certain decisions taken by the Heads of State and Government that have immediate consequences, while others become a reality in 10, 15 or 20 years. I don't doubt that within 15 or 20 years - perhaps not with the same people - that which was started today in Madrid will be celebrated because it will have been finalised.

Mr. Passos Coelho.- I also wanted to start by expressing my gratitude and congratulating the President of the Spanish Government, Mariano Rajoy, on the organisation of this summit on interconnections between our three countries, and also congratulate the teams of ministers responsible for the energy sector and, as the case may be, for the environment, who have enabled us to reach an understanding on the very important involvement of the European Commission that is so positive for the agreement we have reached here today.

I believe that this Summit clearly demonstrated the commitment from these three countries (Portugal, France and Spain), as well as from the European institutions, with the interconnection targets of installed electrical power of 10% by 2020.

As we have been arguing, this target is crucial for achieving a genuine internal energy market, which furthermore - I totally agree with what the President of the Spanish Government said -must translate into lower energy prices for consumers, more effective investments in renewable energies, greater energy security, and hence, in sustained growth, in green growth, which will assuredly support the European Union's participation in the Climate Summit to be held in Paris at the end of the year.

I would also like to particularly welcome the presence of the President of the European Commission, together with Commissioner Arias Cañete and the President of the European Investment Bank, to this summit.

The involvement of the Commission is fundamental in its role overseeing the achievement of these targets within the deadlines set, in contrast to what happened in the past. We have truly done nothing else for many years except announce targets that were then not made a reality in practice. I believe that this time will be different and that is fundamentally down, not only to the commitment of these three countries, but also to the involvement that the European Commission decided to commit to. It also falls upon the commission to create regulatory conditions that offer greater clarity and foreseeability for these investments in interconnections.

It is also necessary on this stage to make progress on greater harmonisation of national energy markets, and an example of this is that Portugal and Spain have already harmonised their markets though MIDGAS in a strictly bilateral manner. Through this type of project, I believe that the Commission can create better conditions for attracting private investment.

Closely tied to the financing mechanisms that you are already aware of, I would highlight the priority given to energy in the European Fund for Strategic Investments, which, as we were reminded of here, is the fund that is tied in to the Juncker Investment Plan, which bears the name of the President of the Commission. I believe that it is key for attracting private investment so as to carry out these projects without overburdening public finance or end consumers, which is also very important. I am sure that the European Commission and the European Investment Bank will give top priority to those investments that allow us to take a qualitative leap in progressing towards a single European market.

In short, this summit has seen very significant progress made and I would like to underline the following achievements. Firstly, a shared call to identify and present to the European Commission the projects necessary to achieve this target of 10% of interconnections by 2020. To date, projects have been identified that will enable us to reach an interconnection figure of 8% so we still need to jointly identify complementary projects together with the Commission to make up this remaining 2% to reach the figure of 10% by 2020. It is important to remember that Portugal and Spain will already reach the figure of 11% of interconnections by 2016. As such we cannot fail to achieve this target of 10% by 2020 between the Iberian Peninsula and France.

Secondly, the creation of new regulatory mechanisms for coordination and agreement between the three countries with the participation of the European Commission. This is extremely important to the extent that this will allow us, both at a technical and a political level, to review the progress made in achieving these interconnection targets.

Finally, as President Hollande pointed out to us, in relation to the gas sector, the three countries urgently agreed to increase energy security in Europe thanks to a broad European strategy to diversify the sources and supply routes for natural gas. Portugal, Spain and France have reached an agreement to support the development of interconnection infrastructures in the gas sector to harness the potential loss of supply from Eastern Europe, by moving out from the Iberian Peninsula towards other countries in the Mediterranean and in the Atlantic Basin.

A significant part of the uncertainty associated with the supply of gas each winter to countries in Central and Eastern Europe is a result of not having taken the right decisions in the past to supply all countries, and not only to have an internal energy market that is sufficiently cohesive and extensive, but also one with a secure supply.

I believe the fact that there are now liquid gas terminals in both Spain and Portugal that can guarantee, if we had sufficient interconnections, close on 40% of the needs that are presently guaranteed by Russian gas, gives an idea of the potential of just how useful diversification could be for Europe in the coming years should these projects come to fruition.

It is also important to underline that when we want to move towards North Africa or the Atlantic Basin we are not only gaining in supply but also in negotiating power with potential gas suppliers for Europe. From an industrial point of view, this is fundamental for ensuring that we have better conditions for our companies to be competitive.

We shouldn't forget, and with this I will finish, that North American companies already benefit from a huge advantage in terms of gas prices for industry. If we want to be competitive on the international stage and not only in our internal market, we must also create the right conditions to ensure lower prices for our industries. I believe that we are offering an example here today of how - albeit a policy that is not centralised through the European Commission and hence at an EU level - it is possible for European Union countries to draw up and coordinate to offer a response, together with the European Commission, to such objective needs with benefits that go beyond the borders of our three countries, which is very important for the whole of Europe, and particularly for many countries in Eastern Europe that are over-dependent on gas from Russia.

Once again, my thanks go out to the President of the Spanish Government and also to the President of the French Government for what we have achieved here today, together with the European Commission.

Mr. Juncker.- Ladies and gentlemen, good afternoon.

Everything has already been said, but we have not all said exactly the same, so I will not add anything in an endeavour to not feel frustrated. But what is, of course, not frustrating is that today we are facing a bright set of circumstances, after just one week. Under the auspices of Commissioner Arias Cañete, the Commission has presented its ideas, its opinions, its initiatives in terms of Energy Union; an Energy Union that constitutes one of the major priorities of the Commission because in terms of energy the single market is far from complete. It is an encouraging set of circumstances that has brought us here to Madrid today to bring to the table the ideas that we had been exchanging for a long time now. And I want to pay tribute to my three colleagues for having had this initiative.

The European Union is based on four guiding principles, on four freedoms: the free movement of workers, of capital and of goods, and I would like to add a fourth principle to these classic principles, the principle of the free movement of energy. If we do not achieve the free movement of energy throughout Europe, we will not have met our duty.

The aim of what we are doing here in Madrid today is to organise regional convergence in terms of energy between France, Portugal and Spain, and I want to see other European regions following this approach. Today we are finally bringing the energy isolation of the Iberian Peninsula to an end. It is a milestone for the region and for the men and women that live in these three countries. Hence, I can but encourage others to also contribute towards bringing to an end the blockades that take place in terms of energy supply and to help other virtuous elements to foster the interconnection of energy grids in Europe.

I have various disadvantages here: firstly, the plan takes my name; secondly, I attended the European Council in Barcelona in March 2003 when the target of 10% of interconnections was set. The truth is that that has not been entirely achieved and I would thus like to applaud the fact that a high-level work group has been set up that will oversee the decision that has been taken here today by these three leaders, together with the Commission, so that this does not turn out to be mere rhetoric, but rather that something genuine is achieved in regard to this project which must be pushed through.

I would like to take this opportunity to thank the President of the Spanish Government, Mariano Rajoy, for having contributed 1.5 billion euros to this investment plan. After Germany, which has contributed 8 billion euros, Spain is the next largest contributor, with 1.5 billion, and I would also like to thank the other major countries represented here today for their valuable contributions.

Q.- Mr President, you are here to talk about energy. Today Areva announced disastrous results. Will you be able to calm down the workers of this nuclear power giant this afternoon?

On another note, do you foresee a rapprochement in the end between EDF and Areva?

F. Hollande.- Yes, we are indeed immersed in this issue; in other words, we are talking about energy, about the future and Areva is a company with a future because it works in the nuclear field and nuclear energy remains a source of electrical energy production in France. The outlook is for nuclear energy to represent 50% of production in 2025 and that it will remain an export product of our technology.

The company Areva has announced results that reflect the errors made in the past and we have to take decisions to strengthen the situation of this company and ensure better cooperation between Areva and EDF. In fact, I have asked the top executives of both companies to present us with a rapprochement plan that could be confirmed within a few months so that the players in the French team of nuclear operators, euphemistically speaking, can work together more than they have in the past.

There is also the issue of personnel, and this needs to be guaranteed so that the workers, whose good work is acknowledged in France and throughout the world, should commit to social dialogue as soon as possible, as well as dialogue with the elected representatives of the headquarters concerned so that they can maintain the situation of these workforces and not allow this to lead to a single lay-off.

Finally, I want to reaffirm here the confidence I have in these companies, in which the State plays an important role, since the French State is an 80% shareholder of both Areva and EDF. The French nuclear sector includes some 2,500 companies and 220,000 personnel, and hence we will act so that, through cooperation, this new strategy - since we will soon have a new industrial strategy - will be able to offer a future to top-level French companies.

Q.- I would like to start by asking the President of the European Commission to offer a comment or explain himself better. We have seen in an interview in "El Pais" today that states that Spain and Portugal have been very demanding with Greece. I would like him to tell us if he considers that these two countries were too demanding with Greece and whether this issue was commented on, whether this issue has been spoken about here or elsewhere.

My second question. It has been said that mistakes were made in the bailout programmes and I would like to ask the President of the European Commission if he can tell us if anything will change in the approach being taken with those countries that are still under intervention, such as Greece, or in relation to Portugal, which has now exited this process but is still under a certain amount of pressure.

I would like to ask Mr Rajoy who was involved in putting the brakes on Greece, on the extension to the programme for Greece, whether it was Portugal or Spain that was most involved. What type of demands were made? Were these demands made in a formal manner?

Finally, I would like to ask the Portuguese Prime Minister a question. Forgive me but I must ask you about today's controversy in Portugal relating to the Prime Minister's debts with the Social Security system. I would like to know if he is willing to apologise as some are demanding and whether he is willing to assume certain political consequences, and, if so, which consequences?

Mr. Juncker.- The truth is that this is not the issue. You are aware of the interview I gave to "El Pais" and you are interpreting this in a selective manner. In that interview, if I remember what I said correctly, although I haven't read the version published because I cannot understand Spanish fluently, I said that there were several countries that were being more demanding over the issue of Greece than Germany, because that was the question, and I mentioned the Netherlands, Slovakia and other countries.

As regards Spain and Portugal, I said that they were two countries that had bravely implemented adjustment programmes, truly punishing programmes for their countries, and that these two countries expected that other countries in the same situation would make the same efforts. I believe that that is pure common sense and I believe that common sense is shared out very unequally in Europe.

As regards your second question, you asked me whether things are changing; obviously things are changing, but not specifically for the countries that you mentioned. Of course, the Commission that I have the honour of heading up has given a new focus to Europe. The consolidation of public finances is necessary and structural funds are necessary in all European countries; but, of course, it was necessary to also add a growth dimension as well and hence the plan that will seek to mobilise investment to foster job creation. Any growth must be growth that is productive in terms of jobs.

President of the Government.- As on so many occasions in life, the most important thing is the future. I want to state that the position of the Spanish Government, which I believe is the position of the vast majority of the people in Spain, is to have the best possible relations with our colleagues, with our partners and with our allies. And we want to have the best possible relations with the Greek Government, as with any of the other 27 governments of the different countries that make up the European Union.

I want things to go really well in Greece, because it has undergone and continues to undergo many difficulties, as has Spain and as have other countries in the European Union. Our two countries, together with others, are members of one of the most important integration projects with the greatest political sense behind it ever seen. The process of European construction, which dates back many years, is a truly important process, it is one of the great historic processes and we are doing it because we are countries that share many things, we obviously share values, principles but, above all, we share a desire to work together to improve the well-being of the citizens of the European Union as a whole.

Hence, I wish the people of Greece the very best, as I do the people of Europe. I want the same for the people and citizens of Greece as I want for all the people in my country; to increase their levels of well-being and wealth.

We have taken the same decision as all the members of the Eurogroup. Decisions are always taken unanimously and with the agreement of everyone. This occasion has been no different and hence there have been neither more nor less demands. In other words, we have taken the same decision as they have all taken and this is a decision that seeks growth for Greece, jobs for Greece and for Greece to meet its commitments, just like anyone else.

Hence, the only problem here was an accusation, which I, for one, did not like, that the Portuguese and Spanish Governments sought to change the Greek Government which, in all sincerity, is quite out of order. But, I repeat, the most important thing is the future and, of course, that all the decisions the Spanish Government adopts and all the ideas proposed by the European Union are always for the benefit of our citizens and endeavour to seek the maximum agreement and consensus from all the countries involved.

As Spaniards it is very good for us that things go well in France, for example, or for Portugal. Everything that means that France and Portugal are doing well, or Greece, or any other country in the European Union, is good for Spain and that is why we will always work in that direction. The key is that we all know how to maintain our forms and that we then meet our commitments. That is what I, for one, always try to do and it is what I will continue to do in the future, with the aim of this great European project being that all Europeans benefit from it, which, for the time being affects the people who live in its 28 Member States.

Mr. Passos Coelho.- I would like to respond to the question I was asked. Normally, when I am away from Portugal, I don't speak about domestic issues and, in particular, I don't do so in response to questions that have already been the subject of interventions and declarations on my part, and I believe that they should be answered in Lisbon and not in Madrid.

But I will take advantage of the various questions asked to correct something that I said about Portugal when you asked the President of the European Commission what could change in the future, given that there are countries like Portugal, which are no longer under intervention but continue to be under a great deal of pressure. I wanted to say to you, madam journalist, that Portugal is no longer under a lot of pressure, quite the opposite, Portugal currently has interest rates at two, five and ten years that are the lowest in its history. It has made public debt issues that have been mainly purchased by foreign investors and with interest rates that have also been very low historically, not only in the secondary market but also in the primary stock market. And Portugal, with the authorisation of its partners, is now preparing to repay a significant part of the loans it took out from the International Monetary Fund.

A country acting under pressure, madam, does not act in these terms. I wanted to make that clarification.

Q.- Two questions on financing. The first part is a question for Mr Juncker and the second part is for all the participants.

Mr Juncker, your plan has raised great expectations and there are three countries here that will present the Commission with their projects for being financed. Will there be enough money to finance them all? There is the Iberian Peninsula project and various other projects that will be competing with other projects in other sectors.

The second part of my question is for all the participants. Can you now discount the possibility of a third bailout plan for Greece?

Mr. Juncker.- As regards your first question, I can say that the investment plan is aimed at investments that would not be made without this plan. Hence, we are not financing institutions but projects which would not be carried out without this plan. So, given this overriding principle, the European Investment Bank, since it is the bank that chooses the investments under this plan, will examine the projects to be presented and which will then be passed on to a committee of experts to be set up by the European Investment Bank.

As regards a third bailout plan for Greece, I don't want to give you the idea today that we are negotiating such a plan. We are presently trying to apply the decision taken by the Eurogroup on 20 February for the next four months and, in accordance with the Eurogroup conclusions from 20 February, we are talking about possible new mechanisms. We will examine the situation after these four months have elapsed, which gives me the opportunity to reiterate to you that we ought to talk about Greece with a great deal of respect and state that we respect the dignity of this great nation. The people of Greece have to tackle some enormous problems. Europe is there to help and Europe must also propose what it expects from countries, and that is what we have done.

President of the Government.- I have nothing else to add to what we have just heard.

Mr. Passos Coelho.- Personally, I would simply like to answer the journalist by saying that I will not make any comments on the development of the situation that Greece is undergoing. I only want to say one thing that I believe is well-known by everyone, but which it is sometimes good to remember: those countries that have been or are under a financial assistance programme have asked for that. Hence, each country can take the initiative to ask for external financial assistance or not, and thus, this is a question that must be asked of a different party and not of those of us that are here today. This question should obviously be asked of the Greek Prime Minister and not the Portuguese Prime Minister, the French President or the President of the Spanish Government.

Q.- I wanted to return to the issue of Greece, to the declarations made by Alexis Tsipras this last weekend; specifically when he accused Spain and Portugal of wanting to push this country over the edge. I wanted to ask you, Mr Juncker, specifically, whether you have called Mr Tsipras to comment on this issue, above all after the Spanish Government formally lodged a protest so that you, the European authorities, could condemn these declarations.

For President Hollande, please. You said that you shared many of the goals of Tsipras when you met with him and he considers you to be one of the partners in the opposite corner to the President of the Spanish Government and the Portuguese Prime Minister. I wanted to know whether the tone of the declarations made by Tsipras surprised you.

And then an opinion from all four of you on recovery. You have made various references in your opening speeches to the recovery of some European countries and the exit from the crisis. Mr Juncker, in the interview that a colleague of mine mentioned earlier you said that a country like Spain in which 24% of people are unemployed cannot speak about recovery. I wanted to know if the four of you consider that this is a case of triumphalism and if the recovery is being exaggerated for electoral reasons.

Mr. Juncker.- It is very interesting to visit European countries. There are countries where one journalist may ask one question or 20 journalists may ask questions, but here we have one journalist who wants to ask four questions to four speakers, which necessitates 16 answers, which requires a great deal of energy since we are talking about energy. You have spoken about Greece, but the issue here is not Greece but rather the interconnection of European energy grids, if I may remind you.

You, once again, has been a victim of selective reading regarding what I said to "El Pais", because I didn't say that there is no recovery in Spain, because the signs of recovery are clear; Spain is starting to grow; Spain is starting to reduce its unemployment rate; Spain, during the course of last year considerably increased the number of new jobs created, and Spain has reduced its budgetary deficit considerably. Hence to try and say that I said there is no economic recovery in Spain, does not correspond to what I said or to the reality of the situation.

What I did say, and I will reiterate that here, and on this issue there can be no disagreement between us, is that while there is such a high unemployment rate in Europe, and particularly in Spain, especially of young people, we cannot say that the crisis is over. There are many Europeans who have suffered from this crisis and what the Spanish Government is doing constitutes a response to the problems that its citizens have to face.

As regards the other questions, I have not seen, over the last few weeks, that Portugal and Spain have a diabolical plan to overthrow the government of Mr Tsipras. Hence, I have no comments to make on this issue. If I had had the feeling that Mariano and Pedro were cooking up such a repulsive plan I would have done something; but, since their intentions are good, I have not felt the need to do anything.

President of the Government.- I understand, from inference, that the question for me is about recovery.

Spain has spent six years shedding jobs day after day and Spain has had some years of recession, with negative economic growth, we have generated many imbalances and we have had many difficulties accessing finance; certain public institutions were unable to do so. Our risk premium, as you know, stood above 600 basis points and the 10-year bond was above 7%.

As from the end of 2013, and above all in 2014, things started to change. In 2014, Spain grew for the first time in six years, by 1.4%, and Spain created jobs for the first time in seven years: 450,000 jobs last year. The latest figures we have seen for February this year are very positive, particularly taking into account that February is not traditionally a good month; 96,000 more National Insurance contributors is something that should serve to urge us on to continue working in this direction.

What Mr Juncker has said is true. What I mean is that there is economic recovery in Spain, but it is true that the unemployment rate is very high and combating this is the main national goal. I said that we can reach the figure of 20 million jobs through the creation of 3 million new jobs. Last year, 450,000 jobs were created and this year, with growth of 2.4% - that is the government's forecast - we believe that we will create half a million more jobs. And in the next four years the same could happen.

That is the main national objective and that can be achieved; but what is clear is that there is an evident change in the evolution of the Spanish economy. Aside from that, anyone can make the analyses that they deem opportune and appropriate, but that is an objective fact. So, what is also clear and what is also an objective fact is that the unemployment figure is unacceptable, and that is the war being waged by this government and by Spanish society as a whole. Last year was good compared with all the previous years, but there is still a great deal to do and the main target is to reach the figure of 20 million Spaniards in work once again in our country within the next few years.

F. Hollande.- In the first place, I would like to say to Jean Claude Juncker that I also make a lot of trips and there is a certain new harmony in the culture of journalists. There is a common market that has taken root of asking several questions in one.

I believe I have understood that you have asked me two questions. One, on the differences that can exist in relation to the way the issue of Greece could have been handled. There may be different nuances because there are 28 countries; but Europe means rules, a project, a vision and seeking compromise. And once a compromise has been reached, all the countries that have taken part in that decision support it.

Today, as we have just been reminded by the President of the European Commission, a decision has been taken by him consisting of extending the support that is being given to Greece, with a term that allows the country to carry out the necessary reforms to respect its commitments. I believe that all the Heads of State and Government are now agreed that this decision can be fully carried out.

The second question is about recovery. Yes, there is economic recovery in Europe and there are several countries here that can bear witness to that. Not all the countries are in the same situation. There has been a very profound recession in some European countries while others have been less hard hit, and what we have to do is ensure that recovery means not only catching up with others but that lasting economic activity truly takes off; in other words healthy growth. That is why rules must be respected on issues of financial and budgetary adjustments, and also in Europe's new approach to fostering growth.

In France, we have seen certain indicators that are pointing in the right direction and which confirm the government's forecast of 1% growth; but we don't discount exceeding this figure should we see market confidence, if investment returns and also if Europe as a whole also enjoys economic growth, since our foreign trade sector is principally geared towards other European countries. To a certain extent there is solidarity in our growth and not only in dealing with more delicate issues.

Mr. Passos Coelho.- I would also like to make a brief reflection, following my invitation to do so, on the reforms we have undertaken and the progress we are seeing through this economic reform in returning to growth.

First of all I would also like to remind you of something. The best thing that countries - which for various reasons have accumulated very severe imbalances, and as a result of this are excessively constrained from a financial perspective - can do to return to growth is to correct these imbalances.

When financial constraints are overly strong, our room to manoeuvre to return to growth is more limited in the short term. However, by correcting imbalances and introducing reforms at a macro-economic level, which can then bring macro-economic advantages, we then have reason to gain in confidence, optimism and room, from a financial perspective, to place more emphasis on growth policies. It is very difficult to grow at the same time as you are correcting very serious financial imbalances.

And I would like to say here, today, in Madrid, that it would not have been possible in many European countries with very serious imbalances to have corrected these without the successful functioning of European solidarity, in other words, if we had not reformed our institutions and created instruments that allowed those countries to acquire a little more room to undertake their reforms without excessive pressure and overcome the imbalances that had built up.

The second fact is that, growth is now returning and we now have more room to manoeuvre to create growth, which does not mean that the public debt and number of unemployed accumulated, in Spain, for example, disappear quickly. It means that merely as a result, for example, of growth in Spain, where the levels posted are above the Eurozone average and in Portugal, where the growth posted is along the lines of the Eurozone average, and there is a higher growth forecast for 2015, even compared with that French economy, that does not means that, for example, in the case of Portugal there is not a problem with accumulated debt or unemployment from the past that needs attending to. We will not return from public debt at 17% in one or two years; this clean-up process will probably take more than a decade.

But that does not mean that we cannot grow or that we cannot have certain room to return to private activity, to create jobs and to improve our financing conditions; and hence, to creating surpluses for the future. That is what we are currently doing in Europe and I believe that what we have done today here is also a contribution, albeit modest, but a contribution to help this growth become more solid.

If we manage to speed up the integration of the European energy market, we will be in a better position for our companies to become more competitive and for our citizens, our consumers, to pay less for many of the infrastructures that existed in the past. This contribution we are offering here, very modestly, for growth, can be repeated throughout the European internal market in respect of the digital market, or extending banking union or by creating a genuine financial union in Europe.

We still need to take many important steps that allow us to recover more dynamically. But I believe that the best way to achieve this is not by reminding us every day of the weight on our shoulders, which is still enormous, but rather by showing our confidence in the results that are coming through and by adding new projects and new goals in addition to those that already exist. That is what we have also achieved here today, through this agreement between France, Spain and Portugal in relation to energy interconnections.

President of the Government.- Thank you very much.