STRASBOURG France Tue Jul 15, 2014 5:15am

Euro zone countries should get financial incentives if they make ambitious economic reforms, the designated candidate to become the president of the European Commission said on Tuesday.

Speaking to lawmakers in the European Parliament who will later vote on his candidacy, Jean-Claude Juncker also advocated the creation of a budget for the 18 countries in the euro zone.

"If the member states of the economic and monetary union make a particularly great effort, then we have to reflect on financial incentives which could then accompany that process of great effort," Juncker said.

"In that context, we would have to reflect on the setting in place of our own budgetary capacity for the euro zone."

Juncker also advocated more transparency in talks between the United States and the European Union to establish a trade pact. "If we don't publish the related documents ... this treaty will fail," he said. "It will fail in the eyes of public opinion."